Easy Ways to Cut Costs on Merritt Island Auto Insurance

Cutting costs on Merritt Island auto insurance is nearly impossible for consumers new to comparing rates online. Consumers have so many options that it can turn into a challenge to locate the lowest price in Merritt Island.

It's important to get comparison quotes once or twice a year because prices are constantly changing. Even if you got the lowest rates two years ago a different company probably has better rates today. Starting now, forget all the misinformation about auto insurance because you're going to get a crash course in the tricks you need to know to save on auto insurance.

Finding affordable coverage in Merritt Island is not that difficult. In a nutshell, every vehicle owner who is required by state law to have auto insurance will be able to lower their premiums. But Florida drivers do need to know the way insurance companies price online insurance and use this information to your advantage.

How much can you save with discounts?

Car insurance can cost a lot, but companies offer discounts that many people don't even know exist. Larger premium reductions will be automatically applied when you purchase, but lesser-known reductions have to be specially asked for before being credited.

Passive Restraints - Vehicles with factory air bags can receive discounts of more than 20%.
Military Discounts - Having a deployed family member could mean lower rates.
Anti-lock Brake Discount - Cars that have steering control and anti-lock brakes are safer to drive and will save you 10% or more.
Good Students Pay Less - Performing well in school can be rewarded with saving of up to 25%. This discount can apply until age 25.
Clubs and Organizations - Participating in a professional or civic organization could qualify you for a break on your policy.
No Claims - Claim-free drivers can save substantially compared to drivers who are more careless.
Defensive Driver - Taking part in a course in driver safety could save 5% or more if you qualify.
Employee of Federal Government - Active or retired federal employment may qualify you for a discount with certain companies.
Homeowners Pay Less - Being a homeowner may trigger a auto insurance policy discount because owning a home is proof that your finances are in order.
Discount for Life Insurance - Select insurance companies reward you with a break if you buy auto and life insurance together.

Drivers should understand that most credits do not apply to the entire cost. Most only apply to specific coverage prices like medical payments or collision. So even though they make it sound like having all the discounts means you get insurance for free, companies wouldn't make money that way. But all discounts will help reduce the amount you have to pay.

Understand what determines the rate you pay

Smart consumers have a good feel for some of the elements that go into determining the price you pay for auto insurance. When you know what positively or negatively controls the rates you pay helps enable you to make changes that can help you get big savings.

Clean credit earns discounts - Your credit score is a big factor in your rate calculation. If your credit history is lower than you'd like, you could potentially save money when insuring your by improving your rating. Consumers who have good credit tend to be less risk to insure as compared to drivers with poor credit.
Optional equipment can affect rates - Driving a car with a theft deterrent system can help lower your rates. Anti-theft features such as vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems all hinder your car from being stolen.
Careful drivers pay lower rates - Your driving record has a big impact on rates. Even a single moving violation may increase your cost by as much as thirty percent. Drivers with clean records get better rates than bad drivers. Drivers who get serious violations like hit and run, DWI or reckless driving convictions may be required to submit a SR-22 or proof of financial responsibility with their state DMV in order to continue driving.
Your job and insurance rates - Did you know that where you work can have an impact on rates? Occupations like lawyers, architects and stock brokers are shown to have the highest rates due to stressful work requirements and lots of time spent at work. On the other hand, occupations like farmers, students and homemakers pay the least.
Don't buy coverages you don't need - There are many extra bells and whistles you can purchase on your auto insurance policy. Things like vanishing deductibles, better glass coverage and membership fees are examples of these. They may seem like a good idea initially, but your needs may have changed so remove them from your policy.
More claims means more premium - Insurance companies in Florida provide discounts to people who do not rely on their insurance for small claims. If you file claims often, you can expect either higher rates or even cancellation. Insurance coverage is designed for major claims that would cause financial hardship.
Low deductibles can be expensive - Physical damage coverage, termed comprehensive and collision coverage on your policy, protects your car from damage. Some examples of claims that would be covered could be collision with another vehicle, vandalism, or theft. Your deductibles are the amount of money you are willing to pay in the event of a claim. The higher the amount the insured has to pay upfront, the less your company will charge you for insurance.

Save 15 percent in 15 minutes? Is it for real?

Companies like State Farm and Allstate constantly bombard you with television and radio advertisements. All the ads say the same thing that you'll save big if you switch your policy. But how can every company make almost identical claims? It's all in the numbers.

All the different companies can use profiling for the right customer that earns them a profit. For example, a preferred risk could possibly be a mature driver, has no tickets, and chooses high deductibles. A customer getting a price quote who fits that profile is entitled to the best price and is almost guaranteed to save a lot of money.

Consumers who don't meet this ideal profile will be charged higher prices which usually ends up with the driver buying from a lower-cost company. The ads state "customers who switch" but not "drivers who get quotes" save that kind of money. That's why companies can state the savings.

That is why drivers should compare many company's rates. It's impossible to know the company that will give you the biggest savings.

More Florida auto insurance information

Much more information about auto insurance in Florida can be found on the Florida Office of Insurance Regulation website found here. Florida consumers can find out industry alerts, view a list of available companies, and file complaints about a company.

Also read more on NAIC.org's Understanding your Policy and this directory of Merritt Island insurance agents.

Do the work, save more money

You just read a lot of tips how to reduce auto insurance prices online. The key thing to remember is the more you quote, the better chance you'll have of finding lower rates. Consumers may even find the best price on auto insurance is with some of the smallest insurance companies.

Consumers switch companies for a variety of reasons including poor customer service, unfair underwriting practices, policy cancellation and even questionable increases in premium. It doesn't matter what your reason, finding a new auto insurance company is less work than it seems.

When buying insurance coverage, don't be tempted to skimp on coverage in order to save money. There have been many cases where an insured dropped uninsured motorist or liability limits only to regret that their decision to reduce coverage ended up costing them more. Your goal should be to buy a smart amount of coverage at the best price, not the least amount of coverage.