Tightwads Tips for Saving on Madison Auto Insurance

Are you sick and tired of not being able to afford each month for car insurance? Your situation is no different than most other car owners in Illinois.

Drivers have multiple to pick from, and though it is a good thing to be able to choose, it can be more challenging to compare rates.

The purpose of this post is to let you in on how to get online quotes. If you are paying for car insurance now, you will be able to lower your premiums substantially using this strategy. But Illinois consumers do need to know the methods companies use to sell online and use this information to your advantage.

Madison Rates are Influenced by These Factors

Consumers need to have an understanding of the factors that help determine the rates you pay for auto insurance. Knowing what controls the rates you pay enables informed choices that will entitle you to big savings.

The following are a few of the "ingredients" auto insurance companies consider when setting prices.

High numbers of claims are not good - If you file claims often, you can definitely plan on higher rates. Companies in Illinois generally give lower rates to people who are claim-free. Insurance coverage is intended for major claims that would cause financial hardship.
Occupation reflects on rates - Did you know your occupation can influence how much you pay for auto insurance? Careers like lawyers, social workers and financial analysts tend to have higher average rates in part from stressful work requirements and lots of time spent at work. Conversely, occupations such as farmers, engineers and performers receive lower rates.
Being married is a good thing - Having a spouse can get you a discount on auto insurance. Having a significant other means you're more mature than a single person it has been statistically shown that drivers who are married are more cautious.
Drive less and save money - Driving more miles every year the higher your rate. Most insurance companies charge to insure your cars based on how the vehicle is used. Cars not used for work or commuting qualify for better rates than vehicles that are driven to work every day. Ask your agent if your auto insurance coverage shows the proper vehicle usage.
Teen drivers pay high rates - Youthful drivers in Illinois are known to be careless and easily distracted in a vehicle so they pay higher auto insurance rates. Mature drivers are more cautious drivers, file fewer claims and get fewer tickets.
High crash test scores lower rates - Vehicles with good safety scores get lower rates. The safest vehicles reduce injuries and any reduction in injury severity translates into fewer and smaller insurance claims and thus lower rates.
Don't sacrifice liability coverage - Liability coverage will protect you when you are found liable for causing damage or personal injury in an accident. Liability provides for a legal defense which can cost thousands of dollars. Liability insurance is quite affordable when compared with rates for comp and collision, so do not skimp.
Never go without insurance - Letting your insurance expire will be a guaranteed way to bump up your auto insurance costs. And not only will your rates increase, but being ticketed for driving with no insurance might get you a license revocation or jail time.You may need to submit proof of financial responsibility or a SR-22 with the Illinois DMV.

Comparison of Auto Insurance in Madison

All major auto insurance companies like State Farm, Allstate and GEICO give coverage prices on the web. This process is pretty painless as you simply type in as detailed in the form. After the form is submitted, the system will obtain your driving record and credit report and quotes a price based on these and other factors. This helps simplify price comparisons, but having to visit several different sites and type in the same information is monotonous and tiresome. But it's very important to have as many quotes as possible in order to get the best price on auto insurance.

The preferred way to lower your auto insurance bill uses one form that gets prices from many companies. The form is fast, requires less work, and makes rate comparisons a lot less work. Immediately after you send the form, your coverage is rated and you can select any one of the resulting price quotes.

If one or more price quotes are lower than your current rates, it's easy to complete the application and purchase the new policy. This process takes less than 15 minutes and you will know how your current rates stack up.

To find out if lower rates are available, click here to open in new window and input your coverage information. To compare your current rates, we recommend you complete the form with your coverages just like they are on your policy. This makes sure you will have rate comparison quotes for the exact same coverage.

Are you getting all your discounts?

Insuring your fleet can be pricey, but you can get discounts that you may not know about. Most are applied when you complete an application, but lesser-known reductions have to be asked about before they will apply.

Drivers Education - Cut your cost by having your teen driver successfully complete driver's ed class if it's offered in school.
No Accidents - Claim-free drivers can save substantially when compared to accident-prone drivers.
One Accident Forgiven - Certain companies will allow you to have one accident before hitting you with a surcharge if your claims history is clear for a particular time prior to the accident.
Life Insurance Discount - Select insurance companies reward you with a discount if you purchase auto and life insurance together.
Paperwork-free - A handful of insurance companies may give you up to $50 for buying a policy and signing up over the internet.
Distant Student - Youth drivers who attend school more than 100 miles from home and do not have access to a covered vehicle can be insured at a reduced rate.
Low Mileage Discounts - Fewer annual miles can earn a substantially lower rate.
Seat Belt Usage - Using a seat belt and requiring all passengers to wear their seat belts could cut 10% or more on the medical payments or PIP coverage costs.
Employee of Federal Government - Employees or retirees of the government may qualify you for a discount with a few auto insurance companies.
Theft Prevention System - Vehicles with anti-theft systems prevent vehicle theft and therefore earn up to a 10% discount.

Drivers should understand that some of the credits will not apply to the entire cost. Most cut the price of certain insurance coverages like liability and collision coverage. Just because you may think all those discounts means the company will pay you, companies wouldn't make money that way. But all discounts will bring down the cost of coverage.

To choose insurance companies who offer auto insurance discounts in Illinois, click here.

How can State Farm, Allstate and GEICO save drivers who switch?

Auto insurance providers like State Farm, Allstate and GEICO continually stream ads on television and other media. They all have a common claim that you'll save big after switching to their company. How does each company claim to save you money? This is how they do it.

All the different companies can use profiling for the driver that makes them money. For example, a driver they prefer might be over the age of 40, is a homeowner, and drives less than 10,000 miles a year. A customer getting a price quote that hits that "sweet spot" gets the lowest rates and as a result will probably save when switching.

Consumers who are not a match for these standards will be quoted higher rates and this can result in the customer not buying. The ads say "drivers who switch" not "everybody who quotes" save that much. That's why companies can advertise the way they do.

This emphasizes why you need to compare many company's rates. It's impossible to know the company that will provide you with the cheapest rates.

Much more information about auto insurance in Illinois can be found on the website for the Illinois Department of Insurance. Click here for link. Visitors are able to download brochures, read industry bulletins, get help finding coverage, and file complaints about an insurance agent or broker.

Other informative sites include this site for auto insurance rates in Illinois and this list of insurance agents in Madison, IL.

Final considerations

Budget-conscious auto insurance can be sourced both online and also from your neighborhood Madison agents, and you need to comparison shop both to get a complete price analysis. Some auto insurance companies may not provide online price quotes and these regional insurance providers work with independent agents.

As you go through the steps to switch your coverage, make sure you don't reduce coverage to reduce premium. There have been many situations where an accident victim reduced uninsured motorist or liability limits only to regret that the savings was not a smart move. The proper strategy is to purchase plenty of coverage for the lowest price while still protecting your assets.