How to Know You're Spending Too Much for Car Insurance in Midway

Paying for high-priced car insurance can dwindle your checking account and make it hard to pay other bills. Comparison shopping is a smart way to cut your insurance bill. There are many to buy insurance from, and even though it's nice to have multiple companies, it makes it harder to compare rates.

More discounts equal less premium

Insuring your fleet can be pricey, but there are discounts available that many people don't even know exist. Larger premium reductions will be automatically applied at the time of quoting, but some may not be applied and must be specially asked for before you will receive the discount. If you're not getting every credit you deserve, you are throwing money away.

Payment Discounts - If you pay your bill all at once instead of monthly or quarterly installments you can actually save on your bill.
Accident Waiver - Certain companies allow you one accident before your rates go up if your claims history is clear for a certain period of time.
Anti-theft System - Anti-theft and alarm systems prevent vehicle theft and earn discounts up to 10%.
Paperwork-free - Some insurance companies may give you up to $50 for buying your policy over the internet.
Save with a New Car - Buying coverage on a new vehicle is cheaper compared to insuring an older model.
Good Student Discount - Performing well in school can save 20 to 25%. The good student discount can last until age 25.

A little note about advertised discounts, most credits do not apply to all coverage premiums. Most cut specific coverage prices like liability and collision coverage. So even though they make it sound like you could get a free car insurance policy, you won't be that lucky. Any amount of discount will bring down your premiums.

What determines how much you pay?

Smart consumers have a good feel for some of the elements that go into determining the rates you pay for car insurance. Knowing what impacts premium levels allows you to make educated decisions that will entitle you to better car insurance rates.

Listed below are some of the items companies use to determine prices.

Save money with special equipment - Purchasing a vehicle with a theft deterrent system can get you a discount on your car insurance. Anti-theft features like GM's OnStar, tamper alarm systems and vehicle immobilizers all aid in stopping your car from being stolen.
Battle of the sexes - Statistics have proven that women are safer drivers than men. That doesn't necessarily mean that women are better drivers. Men and women cause accidents at a similar rate, but the men cause more damage. Men also statistically get cited for more serious violations like DUI and reckless driving. Youthful male drivers are the most expensive to insure and therefore are the most expensive to insure.
Multi-policy discounts can save money - Most companies provide better rates to insureds who buy several policies from them in the form of a multi-policy discount. Even if you're getting this discount it's still a good idea to compare other company rates to make sure you are getting the best deal.
Your spouse saves you money - Getting married can actually save you money when buying car insurance. Having a significant other is viewed as being more responsible and statistics show married drivers get in fewer accidents.
Older drivers pay less - Youthful drivers in Utah are statistically proven to be careless and easily distracted when driving so they pay higher car insurance rates. If you've ever had to add a teenage driver to your policy can really hurt. More mature drivers are more cautious drivers, tend to cause fewer accidents and tend to be better behind the wheel.
Bad driving skills means higher rates - Good drivers get better rates than bad drivers. Just one moving violation can increase rates by as much as thirty percent. If you have serious violations such as DWI, reckless driving or hit and run convictions may find they need to file a proof of financial responsibility form (SR-22) to the state department of motor vehicles in order to continue driving.

Switch companies and save? Really?

Consumers in Utah get pounded daily by advertisements for car insurance savings by companies like State Farm, Allstate and GEICO. They all say the same thing about savings if you switch to them.

How does each company claim to save you money? It's all in the numbers.

Different companies have a preferred profile for the type of driver that earns them a profit. A good example of a driver they prefer might be a mature driver, insures multiple vehicles, and chooses high deductibles. Any driver who fits that profile gets the lowest rates and therefore will save when switching.

Potential insureds who do not match these standards will be quoted more money which usually ends up with the customer not buying. The ads say "customers who switch" not "everyone that quotes" save money. This is how companies can truthfully state the savings.

This emphasizes why drivers should get a wide range of price quotes. You cannot predict which insurance companies will give you the biggest savings.

Additional information can be read on the website for the Utah Insurance Department found here. Visitors are able to view a list of available companies, learn about insurance regulations, read consumer alerts, and get help finding coverage.

And the best car insurance company is...

Cheaper car insurance can be found both online and with local Midway insurance agents, and you need to price shop both to have the best chance of lowering rates. Some insurance companies do not offer you the ability to get quotes online and these small insurance companies work with independent agents.

When buying insurance coverage, never skimp on coverage in order to save money. There have been many situations where drivers have reduced collision coverage and discovered at claim time that their decision to reduce coverage ended up costing them more. The proper strategy is to purchase plenty of coverage at the best price while still protecting your assets.