7 Top Tricks to Lower Car Insurance Costs in Hollywood

I can't think of anyone who looks forward to paying for car insurance, especially when the cost is way too high.

Online insurance companies like GEICO and Progressive persitently shower you with TV and radio ads and it can be hard to sift through the bull and effectively compare rates to find the best deal.

It's important to compare prices occasionally since rates are constantly changing. Just because you found the best price a year ago you can probably find a better price now. Ignore everything you know about car insurance because you're about to find out the quickest way to buy cheaper car insurance.

Be sure to get all your discounts

Insuring your vehicles can cost a lot, but discounts can save money and there are some available that you may not know about. Most are applied when you complete an application, but a few need to be specifically requested before they will apply.

Accident Forgiveness - A handful of insurance companies will allow you to have one accident before hitting you with a surcharge as long as you don't have any claims prior to the accident.
Anti-theft Discount - Vehicles with anti-theft systems help deter theft and therefore earn up to a 10% discount.
Organization Discounts - Belonging to a civic or occupational organization may earn a discount on car insurance.
Federal Employees - Employees or retirees of the government can save as much as 8% with select insurance companies.
Pay Now and Pay Less - By paying your policy upfront instead of making monthly payments you could save up to 5%.
Lower Rates for Military - Being deployed with a military unit could be rewarded with lower premiums.
Bundle and Save - If you insure your home and vehicles with one company you may earn up to 20% off your total premium.

As a disclaimer on discounts, some of the credits will not apply to your bottom line cost. Some only reduce the price of certain insurance coverages like liability, collision or medical payments. So when it seems like it's possible to get free car insurance, car insurance companies aren't that generous. Any amount of discount will reduce the amount you have to pay.

To choose companies with discount car insurance rates in Hollywood, click here.

Is there truth in advertising?

Car insurance companies such as State Farm, GEICO and Progressive consistently run television and radio advertisements. They all seem to have a common claim about savings if you change your coverage to them. How can each company make the same claim? This is how they do it.

All companies have a certain "appetite" for the type of customer that makes them money. For example, a desirable insured could be over the age of 40, owns a home, and has excellent credit. Any new insured that hits that "sweet spot" will get very good rates and is almost guaranteed to save when they switch companies.

Consumers who don't measure up to the requirements will have to pay higher rates and this can result in business going elsewhere. The ads say "drivers who switch" but not "drivers who get quotes" save that much money. That is how companies can truthfully make those claims.

Because of the profiling, you should compare as many rates as you can. It's just too difficult to predict which company will have the lowest rates.

How do I know if I need professional advice?

When buying the right insurance coverage for your vehicles, there really is not a "perfect" insurance plan. Every insured's situation is different and your policy should reflect that. For example, these questions might point out whether or not you could use an agent's help.

Does my policy cover me when driving someone else's vehicle?
Do I need special endorsements for business use of my vehicle?
Do I qualify for additional discounts?
Am I covered if I drive in a foreign country?
Am I getting all the discounts available?
Does my personal policy cover me when driving my company car?
Am I covered when delivering products for my home-based business?

If you can't answer these questions but a few of them apply, then you may want to think about talking to an insurance agent. If you don't have a local agent, fill out this quick form or you can go here for a list of companies in your area.

Additional information can be found on the website for the South Carolina Department of Insurance. Click here for link. Consumers can learn about insurance regulations, read consumer alerts, find out which companies have the most complaints, and download brochures.

Affordable insurance is out there

Cheap car insurance can be sourced from both online companies as well as from independent agents in Hollywood, and you need to comparison shop both to get a complete price analysis. Some companies don't offer online price quotes and most of the time these regional insurance providers sell through independent agents.

While you're price shopping online, it's a bad idea to buy poor coverage just to save money. In many cases, an insured cut physical damage coverage only to regret at claim time they didn't purchase enough coverage. Your aim should be to find the BEST coverage for the lowest price.