How to Know You're Paying Too Much for Car Insurance in Parkston

No one in their right mind likes paying for car insurance, especially when their premiums are too high.

Numerous battle for your insurance dollar, and it can be difficult to compare rates and get the definite lowest rate

It's important to do rate comparisons periodically because rates are constantly changing. Even if you got the lowest price a year ago the chances are good that you can find a lower rate today. Block out anything you think you know about car insurance because I'm going to let you in on the secrets to the tricks you need to know to reduce your cost while improving coverage.

Take advantage of discounts

Companies offering auto insurance don't always publicize all their discounts in an easy-to-find place, so we researched some of the more common as well as the least known savings tricks you should be using.

New Car Discount - Buying coverage on a new vehicle can be considerably cheaper because new vehicles have to meet stringent safety requirements.
Good Student - A discount for being a good student can earn a discount of 20% or more. Earning this discount can benefit you well after school through age 25.
Life Insurance - Companies who offer life insurance give lower rates if you buy life insurance.
Driver Safety - Successfully completing a driver safety course can save you 5% or more and easily recoup the cost of the course.
Early Switch Discount - Some insurance companies reward drivers for switching to them before your current expiration date. It's a savings of about 10%.
Theft Prevention Discount - Cars that have factory anti-theft systems can help prevent theft and will save you 10% or more.

As a disclaimer on discounts, most discounts do not apply to the entire policy premium. Some only reduce individual premiums such as liability, collision or medical payments. So even though they make it sound like all the discounts add up to a free policy, car insurance companies aren't that generous.

To see a list of companies who offer car insurance discounts in Parkston, click here to view.

Parkston Car Insurance Comparisons

There are several ways to compare quotes from different Parkston insurance companies. The best method to find competitive insurance rates consists of shopping online. This can be done in a couple of different ways.

The best way to get the best comparison quotes is to use a rate comparison form like this one (opens in new window). This easy form keeps you from doing repetitive form submissions for each company you want a rate for. Just one form gets rate comparisons from multiple companies.
Another way to compare rate quotes is spending the time to visit each company's website and complete a new quote form. For example, we'll pretend you want to compare , and . To get each rate you have to visit each site and enter your policy data, which is why the first method is more popular.

To view a list of companies in Parkston, click here.

It's your choice how you get your quotes, but be sure to compare the exact same information on every quote. If you have higher or lower deductibles it's impossible to make a fair comparison in Parkston. Quoting even small variations in coverages can mean a large discrepancy in price. Keep in mind that more quotes will increase your chances of finding the best price.

Why some people pay less for insurance in Parkston

An important part of buying insurance is that you know the different types of things that help determine your car insurance rates. Understanding what impacts premium levels allows you to make educated decisions that may reward you with much lower annual insurance costs.

Mature drivers pay less - Older drivers are viewed as being more responsible, statistically cause fewer accidents and receive fewer citations. Young drivers are known to be more careless behind the wheel therefore car insurance rates are much higher.
How's your driving record? - Good drivers have lower premiums compared to drivers with tickets. Even one moving violation can increase rates twenty percent or more. Drivers who have flagrant citations like DWI, reckless driving or hit and run convictions may need to file a SR-22 with their state motor vehicle department in order to keep their license.
Proper usage rating affects rates - Driving more miles each year the more you will pay for car insurance. Most companies rate vehicles based upon how you use the vehicle. Cars and trucks used primarily for pleasure use receive lower rates than those used for commuting. Double check that your car insurance coverage is showing the proper vehicle usage, because improper ratings can cost you money.
Don't buy coverages you don't need - There are a ton of additional coverages that you can buy on your policy. Coverages like roadside assistance, towing coverage and motor club memberships may be costing you every month. These may sound like a good investment when you first buy your policy, but if you don't need them get rid of them and save.

How to know if you need help

When choosing the best car insurance coverage for your vehicles, there is no best way to insure your cars. Everyone's situation is a little different so your insurance should reflect that These are some specific questions may help highlight whether your personal situation will benefit from professional help.

Should I file a claim if it's only slightly more than my deductible?
Should I buy only the required South Dakota minimum liability coverage?
What happens if I owe more than my vehicle is worth?
Should I have combined single limit or split liability limits?
Does my car insurance cover rental cars?
Does my personal auto insurance policy cover using my vehicle for business use?

If you're not sure about those questions but one or more may apply to you, you might consider talking to an agent. If you don't have a local agent, fill out this quick form or you can go here for a list of companies in your area.

Are car insurance companies telling the truth?

Car insurance companies such as Progressive, GEICO, Allstate and State Farm continually stream ads on TV and radio. They all seem to make an identical promise about savings after switching to them. How do they all make the same claim?

Insurance companies have a certain "appetite" for the type of driver that is profitable for them. For instance, a desirable insured could be between the ages of 40 and 55, a clean driving record, and has excellent credit. A customer who meets those qualifications will get very good rates and most likely will cut their rates substantially.

Consumers who don't qualify for the "perfect" profile will have to pay higher rates and ends up with business going elsewhere. The ads say "customers that switch" not "people who quote" save money. That is how companies can truthfully make those claims. Because of the profiling, drivers must get a wide range of price quotes. Because you never know which company will have the lowest rates.

Do the work, save more money

While you're price shopping online, you should never reduce coverage to reduce premium. There are many occasions where someone dropped liability coverage limits only to discover later they didn't purchase enough coverage. Your aim should be to find the BEST coverage at a price you can afford.

We just showed you many tips how you can compare car insurance prices online. The most important thing to understand is the more times you quote, the better chance you'll have of finding lower rates. You may even discover the lowest priced car insurance comes from some of the lesser-known companies. These smaller insurers may have significantly lower rates on certain market segments than their larger competitors like .

Cheap car insurance can be purchased from both online companies and with local Parkston insurance agents, so you should be comparing quotes from both to get a complete price analysis. Some companies do not offer the ability to get a quote online and most of the time these small, regional companies sell through independent agents.

Additional South Dakota consumer information

Even more information is located at the South Dakota Division of Insurance website. Consumers can read enforcement actions against agents and companies, file complaints about a company, file complaints about an insurance agent or broker, and discover disciplinary actions.