How to Know You're Wasting Money for Car Insurance in Madeira Beach

Did you fall for a flashy sales pitch and buy an overpriced car insurance policy? Trust us, many Madeira Beach consumers feel financially strained by their car insurance policy. There is such a variety of to buy insurance from, and although it's nice to have multiple companies, so many choices can make it hard to compare rates.

Policy discounts you shouldn't miss

Properly insuring your vehicles can get expensive, but companies offer discounts that you may not know about. Some discounts apply automatically when you complete an application, but some must be inquired about before they will apply. If you're not getting every credit possible, you are throwing money away.

  • No Claims - Drivers with accident-free driving histories can earn big discounts when compared to drivers who are more careless.
  • Low Mileage Discounts - Fewer annual miles can qualify you for discounted rates on garaged vehicles.
  • Paperwork-free - A handful of insurance companies will give a small break for buying your policy over the internet.
  • New Car Discount - Buying coverage on a new vehicle is cheaper due to better safety requirements for new cars.
  • Passive Restraints and Air Bags - Cars that have air bags and/or automatic seat belt systems may earn rate discounts of 20% or more.
  • Federal Government Employee - Active or retired federal employment may qualify you for a discount with a few car insurance companies.

A little note about advertised discounts, most discount credits are not given the the whole policy. The majority will only reduce the price of certain insurance coverages like comp or med pay. So even though it sounds like having all the discounts means you get insurance for free, you won't be that lucky. Any amount of discount will bring down the amount you have to pay.

Understand what determines the rate you pay

Smart consumers have a good feel for the different types of things that help determine your car insurance rates. Knowing what impacts premium levels helps enable you to make changes that will entitle you to big savings.

  • Occupation reflects on rates - Did you know your job can affect your rates? Careers like doctors, business owners and financial analysts are shown to have higher average rates in part from high stress levels and lots of time spent at work. Conversely, occupations like actors, engineers and performers pay the least.
  • Do you need those extra coverages? - There are a ton of extra coverages that can waste your money on your policy. Coverages for vanishing deductibles, accident forgiveness and membership fees may be costing you every month. These may sound like a good investment when talking to your agent, but your needs may have changed so eliminate them to save money.
  • Pay less if you're married - Being married can get you a discount on your policy. Having a significant other usually means you are more responsible it has been statistically shown that being married results in fewer claims.
  • Older drivers pay less - Young drivers in Florida are known to be careless and easily distracted when behind the wheel so they pay higher car insurance rates. Older insureds are more cautious drivers, file fewer claims and are safer drivers.
  • Clean credit earns discounts - Having a bad credit history is a huge factor in calculating your car insurance rates. If your credit rating is not that good, you could potentially save money when insuring your by spending a little time repairing your credit. Consumers who have high credit ratings tend to be less risk to insure than drivers who have lower credit scores.
  • Women pay lower rates - Statistics demonstrate that women are safer drivers than men. However, this does not mean men are WORSE drivers than women. They both have accidents at about the same rate, but the men have costlier accidents. Men also statistically receive more costly citations such as reckless driving. Youthful male drivers tend to get in the most accidents and therefore are the most expensive to insure.
  • Car features impact rates - Choosing a vehicle with anti-theft technology or alarm system can get you a discount on your car insurance. Theft prevention features like vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems can thwart car theft.

Save $429 a year? Really?

Consumers get pounded daily by advertisements that promise big savings from companies such as Progressive, Allstate and GEICO. They all make an identical promise about savings after switching your policy.

How does each company make the same claim? This is how they do it.

All the different companies are able to cherry pick for the right customer that earns them a profit. An example of a driver they prefer could be over the age of 50, has no tickets, and has great credit. A customer who meets those qualifications gets the lowest rates and is almost guaranteed to save when switching.

Consumers who don't qualify for these standards will be quoted higher rates and ends up with business going elsewhere. Company advertisements say "drivers who switch" but not "drivers who get quotes" save that kind of money. That's the way companies can truthfully advertise the savings.

This emphasizes why drivers should compare many company's rates. Because you never know which car insurance company will fit your personal profile best.

Find out more about car insurance

Additional information is available on the website for the Florida Office of Insurance Regulation. Click here for link. Consumers can read industry bulletins, discover disciplinary actions, get help finding coverage, and read enforcement actions against agents and companies.

car insurance in Madeira Beach

A tidy conclusion

Cheaper car insurance can be sourced from both online companies in addition to many Madeira Beach insurance agents, and you should be comparing both to get a complete price analysis. There are still a few companies who do not provide you the ability to get quotes online and these smaller companies work with independent agents.

When you buy insurance online, it's very important that you do not skimp on coverage in order to save money. There are too many instances where an insured dropped liability limits or collision coverage only to find out that the few dollars in savings costed them thousands. Your strategy should be to buy the best coverage you can find for the lowest price while still protecting your assets.