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

Having to pay for overpriced car insurance can take a big chunk out of your personal savings and force you to make sacrifices. Comparing price quotes is a great way to slash your bill and have more diposable income.

Since consumers have many choices of insurance companies, it can be hard to locate the lowest price company.

It's important to shop coverage around yearly because rates are constantly changing. Even if you think you had the best rates a couple years back you will most likely find a better rate today. You can find a lot of misleading information regarding car insurance online but I'm going to show you some great ways to put money back in your pocket.

Locating affordable car insurance in Phenix City can be fairly easy. Just about anyone who has to buy car insurance will be able to cut their insurance bill. Nevertheless, Alabama car owners do need to know how insurance companies market insurance on the web.

These discounts can lower your rates

The price of auto insurance can be rather high, buy you may qualify for discounts to help bring down the price. Some discounts apply automatically when you complete an application, but some may not be applied and must be asked about before they will apply.

Life Insurance Discount - Larger companies have a break if you buy life insurance.
Safety Course Discount - Successfully completing a driver safety course could cut 5% off your bill if you qualify.
Passive Restraints and Air Bags - Factory air bags or automatic seat belts can receive discounts of up to 25% or more.
Drive Less and Save - Low mileage vehicles could qualify for a substantially lower rate.
Own a Home - Owning a house in Phenix City can save you money because maintaining a house demonstrates responsibility.
Driver's Ed - Make teen driver coverage more affordable by requiring them to complete a driver education course if offered at their school.
Claim Free - Drivers who don't have accidents pay less as compared to drivers who are more careless.

It's important to understand that some credits don't apply to your bottom line cost. Most only apply to the price of certain insurance coverages like collision or personal injury protection. Just because you may think adding up those discounts means a free policy, it doesn't quite work that way. Any qualifying discounts will help reduce the cost of coverage.

Different people need different coverages

When it comes to buying coverage for your personal vehicles, there really is no best way to insure your cars. Every insured's situation is different and your policy should reflect that. For instance, these questions can help discover whether you may require specific advice.

When does my teenage driver need to be added to my policy?
What happens if I owe more than my vehicle is worth?
Do I really need UM/UIM coverage?
Does my insurance cover a custom paint job?
Can I rate high risk drivers on liability-only vehicles?
Is my vehicle covered for flood damage?
Does my policy cover my teen driver if they drive my company car?

If you can't answer these questions but one or more may apply to you then you might want to talk to an insurance agent. To find lower rates from a local agent, simply complete this short form or you can go here for a list of companies in your area.

Are you falling for claims of savings?

Car insurance companies such as GEICO, State Farm and Progressive consistently run ads on television and other media. They all seem to have a common claim of big savings if you change your coverage to them. But how can every company make the same claim? This is how they do it.

Insurance companies have a preferred profile for the type of customer that earns them a profit. A good example of a desirable insured could be over the age of 50, has no prior claims, and drives less than 10,000 miles a year. A customer that hits that "sweet spot" is entitled to the best price and as a result will probably save a lot of money.

Consumers who are not a match for this ideal profile will have to pay higher rates and this can result in business going elsewhere. The ads state "drivers who switch" not "everybody who quotes" save that much money. This is how insurance companies can confidently advertise the way they do.

Because of the profiling, you should get a wide range of price quotes. Because you never know which insurance companies will provide you with the cheapest rates.

Learn more about car insurance in Alabama

Additional car insurance information can be read on the website for the Alabama Department of Insurance. Click here for link. Consumers can view agent and company licensing information, file complaints about an insurance agent or broker, discover disciplinary actions, and find out industry alerts.

Also read more on Wikipedia and this page where you can research Phenix City insurance agents.

Final considerations

As you go through the steps to switch your coverage, do not buy lower coverage limits just to save a few bucks. In many instances, consumers will sacrifice full coverage and found out when filing a claim that the savings was not a smart move. The ultimate goal is to buy a smart amount of coverage for the lowest price.

Low-cost car insurance is attainable from both online companies as well as from independent agents in Phenix City, and you should be comparing both to get a complete price analysis. Some car insurance companies don't offer you the ability to get quotes online and most of the time these small insurance companies sell through independent agents.

We just showed you a lot of ways to reduce car insurance prices online. It's most important to understand that the more rate quotes you have, the higher the chance of saving money. Consumers may even find the biggest savings come from a lesser-known regional company. Regional companies can often provide lower rates in certain areas than the large multi-state companies such as .