Tightwads Guide to Saving on Homewood Auto Insurance

Nobody I know likes having to buy auto insurance, especially knowing they are paying too much.

With consumers having so many options when it comes to auto insurance, it can be challenging to locate the most cost effective provider.

Buying the lowest cost auto insurance in Homewood is simple if you know the tricks. Just about everyone who carries auto insurance stands a good chance to be able to reduce their rates. Although Alabama vehicle owners do need to know how the larger insurance companies sell online and take advantage of how the system works.

Are you getting all your discounts?

Insurance can be prohibitively expensive, but you may find discounts that you may not know about. Certain discounts will be triggered automatically at the time you complete a quote, but lesser-known reductions have to be requested specifically prior to getting the savings.

Safety Course Discount - Taking part in a course teaching defensive driving skills can save you 5% or more if you qualify.
Good Student - Performing well in school can be rewarded with saving of up to 25%. The discount lasts up until you turn 25.
Multiple Cars - Buying coverage for all your vehicles on one policy may reduce the rate for each vehicle.
Theft Prevention System - Anti-theft and alarm systems are stolen less frequently and will save you 10% or more.
Military Rewards - Having a deployed family member could be rewarded with lower premiums.
Auto/Home Discount - If you have multiple policies with one insurance company you may earn approximately 10% to 15%.
Accident Free - Good drivers with no accidents can earn big discounts when compared with drivers who are more careless.

A little note about advertised discounts, most credits do not apply to the entire policy premium. Most only apply to individual premiums such as liability and collision coverage. Even though it may seem like all those discounts means the company will pay you, you won't be that lucky. Any amount of discount will help reduce the cost of coverage.

Why some people pay less for insurance in Homewood

Smart consumers have a good feel for some of the elements that play a part in calculating auto insurance rates. When you know what positively or negatively impacts premium levels allows you to make educated decisions that could result in big savings.

Add-on coverages can add up - There are quite a few additional coverages that you can get tricked into buying if you aren't careful. Things like rental car reimbursement, accidental death and motor club memberships are examples of these. These may sound like a good investment when you first buy your policy, but if you don't need them remove them from your policy.
Traffic citations inflate rates - Only having one speeding ticket can increase rates by as much as thirty percent. Good drivers have lower premiums than their less careful counterparts. Drivers with dangerous tickets such as DWI, reckless driving or hit and run convictions are required to submit a SR-22 form with the DMV in their state in order to prevent a license revocation.
What are your deductibles? - Your deductibles represent how much money you are willing to pay out-of-pocket in the event of a claim. Physical damage coverage, also known as collision and other-than-collision, is used to repair damage to your car. Examples of covered claims are colliding with a building, damage from fire, and rolling your vehicle. The more money you're willing to pay, the lower your rates will be.
Do you qualify for a multi-policy discount? - Some companies will award you with lower prices to people who consolidate policies with them, otherwise known as a multi-policy discount. Even if you're getting this discount you still need to compare other company rates to make sure you are getting the best deal.

Tailor your coverage to you

When it comes to buying proper insurance coverage for your vehicles, there really is no one size fits all plan. Coverage needs to be tailored to your specific needs and a cookie cutter policy won't apply. For instance, these questions may help highlight whether you will benefit from professional help.

Should I have combined single limit or split liability limits?
Why am I required to buy high-risk coverage?
Am I covered when driving on a suspended license?
Am I covered when renting a car or should I buy coverage from the car rental agency?
Am I covered when pulling a rental trailer?
Am I covered when driving in Canada or Mexico?

If you don't know the answers to these questions then you might want to talk to an agent. To find an agent in your area, fill out this quick form or go to this page to view a list of companies.

How can 21st Century, Allstate and State Farm save drivers who switch?

21st Century, Allstate and State Farm consistently run ads on television and other media. All the companies say the same thing about savings if you change to them. But how can every company say the same thing?

All the different companies have a certain "appetite" for the type of driver that earns them a profit. An example of a profitable customer might be profiled as between the ages of 40 and 55, a clean driving record, and has a high credit rating. A propective insured who fits that profile is entitled to the best price and as a result will probably save a lot of money.

Potential customers who are not a match for this ideal profile must pay a more expensive rate which usually ends up with business not being written. Company advertisements say "customers that switch" not "everybody who quotes" save money. That is how companies can truthfully state the savings.

This illustrates why drivers should compare many company's rates. It's not possible to predict which company will have the lowest rates.

Additional Alabama consumer information

Additional information is available on the website for the Alabama Department of Insurance located here. Alabama drivers can discover disciplinary actions, file complaints about a company, report car insurance fraud, and read consumer alerts.

Also read more on this resource for Alabama auto insurance prices and this link which helps you find a Homewood agent.

Shop smart and save

The cheapest auto insurance can be sourced on the web and with local Homewood insurance agents, so you should be comparing quotes from both to have the best rate selection. Some insurance companies do not offer you the ability to get quotes online and usually these smaller companies provide coverage only through local independent agents.

In this article, we covered a lot of information how to reduce auto insurance prices online. It's most important to understand that the more companies you get rates for, the better your chances of lowering your rates. Consumers may even find the lowest priced auto insurance comes from the least-expected company. Regional companies may cover specific market segments cheaper than the large multi-state companies such as .

As you restructure your insurance plan, do not skimp on coverage in order to save money. There are a lot of situations where someone dropped comprehensive coverage or liability limits to discover at claim time that they should have had better coverage. The proper strategy is to buy enough coverage at a price you can afford while not skimping on critical coverages.