Comparing Cheap Prescott Auto Insurance

Are you sick and tired of paying out the nose each month for car insurance? Your situation is no different than the majority of other car owners in Arkansas.

You have so many to pick from, and though it is a good thing to have a selection, lots of choices makes it harder to compare rates.

It's important to price shop coverage before your policy renews because insurance rates are constantly changing. If you had the lowest rates last year the chances are good that you can find a lower rate today. So forget all the misinformation about auto insurance because you're about to learn the tricks you need to know to lower your annual insurance bill.

Buying car insurance in Prescott is easy if you know what you're doing. If you currently have a car insurance policy, you will be able to lower your premiums substantially using these methods. But Arkansas drivers do need to know the methods companies use to determine prices and use this information to your advantage.

Take advantage of discounts

Car insurance companies don't always advertise every available discount very clearly, so we break down both well-publicized and the more hidden discounts you could be receiving.

  • Air Bag Discount - Vehicles with factory air bags may earn rate discounts of more than 20%.
  • No Claims - Claim-free drivers can save substantially compared to bad drivers.
  • Pay Upfront and Save - By paying your policy upfront instead of paying each month you could save 5% or more.
  • Life Insurance Discount - Select insurance companies reward you with a discount if you purchase life insurance.
  • Low Mileage - Keeping the miles down can earn a substantially lower rate.
  • Memberships - Participating in a qualifying organization may earn a discount on your policy.
  • E-sign - A few companies will discount your bill up to fifty bucks for buying a policy and signing up over the internet.
  • Military Discounts - Being deployed with a military unit can result in better rates.
  • Employee of Federal Government - Being employed by or retired from a federal job could cut as much as 10% off with certain companies.
  • Theft Prevention Discount - Vehicles with anti-theft systems prevent vehicle theft and qualify for as much as a 10% discount.

Drivers should understand that some of the credits will not apply to the entire cost. Some only apply to the cost of specific coverages such as medical payments or collision. Just because you may think all the discounts add up to a free policy, companies wouldn't make money that way.

To see a list of providers with the best auto insurance discounts in Arkansas, click here.

Arkansas auto insurance

Compare Prescott Auto Insurance Costs

There are several ways of comparing rate quotes and find the best price. The best method to compare insurance prices is simply to get online rate quotes. This can be done in a couple of different ways.

  • The best way consumers can make multiple comparisons is to use a rate comparison form click to view form in new window. This type of form keeps you from doing separate forms for each company you want a rate for. In just a few minutes this one form will return price quotes from several companies.
  • A less efficient way to compare rate quotes consists of visiting each company website and fill out their own quote form. For sake of this example, let's say you want rates from , and . To get each rate you have to spend time on each company's site to enter your coverage information, which is why most consumers use the first method.

    To view a list of companies in Prescott, click here.
  • The most time-consuming way of comparing rate quotes to local Prescott insurance agencies. The ability to buy insurance online has reduced the need for local agents unless you prefer the personal advice that only a license agent can provide. It is possible to obtain prices from the web and still use a local agent.

However you get your quotes, ensure you're using identical deductibles and coverage limits for each comparison quote. If each company quotes different values for each quote it will be next to impossible to determine the lowest rate in Prescott. Slightly different insurance coverages may result in large price differences. And when price shopping your coverage, comparing more company's prices helps you find better pricing.

Learn How to Buy Auto Insurance Cheaper

An important part of buying insurance is that you know the factors that come into play when calculating the price you pay for auto insurance. Knowing what controls the rates you pay helps enable you to make changes that can help you get much lower annual insurance costs.

The list below includes a few of the "ingredients" that factor into your rates.

  • Better credit scores mean better rates - Your credit rating is a large factor in your rate calculation. Consumers who have good credit tend to be less risk to insure than drivers with lower credit scores. So if your credit history can use some improvement, you could pay less to insure your by spending a little time repairing your credit.
  • Rates may be lower depending on your job - Occupations like lawyers, social workers and financial analysts are shown to have higher average rates attributed to stressful work requirements and long work days. Conversely, professions such as farmers, engineers and the unemployed pay the least.
  • Optional equipment can affect rates - Driving a car that has an advanced theft prevention system can get you a discount on your auto insurance. Anti-theft devices such as vehicle immobilizer systems, General Motors OnStar and LoJack tracking systems all hinder auto theft.
  • More miles equals more premium - The more you drive every year the higher your rates will be. The majority of insurers apply a rate based on how the vehicle is used. Cars used primarily for pleasure use qualify for better rates than those used for commuting. Double check that your auto insurance policy shows the correct driver usage.
  • Choose a safe vehicle and save - Vehicles with high crash test scores get lower rates. Safer cars have better occupant injury protection and lower injury rates translates into fewer and smaller insurance claims and thus lower rates.
  • Don't sacrifice liability coverage - The liability section of your policy will protect you in the event that a court rules you are at fault for damages caused by your negligence. It will provide for a legal defense which can be incredibly expensive. Liability is cheap compared to insuring for physical damage coverage, so do not skimp.
  • Being married is a good thing - Having a spouse actually saves money on auto insurance. Marriage usually means you are more mature than a single person and it's statistically proven that drivers who are married are more cautious.
  • Keep rates low by being claim-free - Insurance companies in Arkansas generally give lower rates to people who do not rely on their insurance for small claims. If you tend to file frequent claims, you can expect higher rates. Your insurance policy is designed for major claims that would cause financial hardship.

Are auto insurance companies telling the truth?

Companies like State Farm and Allstate regularly use ads on TV and radio. All the ads have a common claim that you'll save big if you move your policy. How does each company make almost identical claims?

Insurance companies can use profiling for the right customer that is profitable for them. For example, a preferred risk could possibly be over the age of 40, is a homeowner, and has great credit. A driver that hits that "sweet spot" will qualify for the lowest rates and most likely will save when switching.

Consumers who don't qualify for these standards will be charged higher prices and this can result in the driver buying from a lower-cost company. The ad wording is "people who switch" not "people who quote" save that kind of money. That's why companies can advertise the savings. That is why drivers must compare as many rates as you can. It is impossible to predict the company that will give you the biggest savings.

The best insurance company isn't always the cheapest

In this article, we presented a lot of techniques to compare auto insurance prices online. The key concept to understand is the more you quote, the higher the chance of saving money. Drivers may discover the lowest premiums are with a company that doesn't do a lot of advertising. These smaller insurers may only write in your state and offer lower rates than their larger competitors like .

As you prepare to switch companies, make sure you don't reduce coverage to reduce premium. There have been many cases where an accident victim reduced uninsured motorist or liability limits only to regret that the small savings ended up costing them much more. Your goal should be to get the best coverage possible at an affordable rate, not the least amount of coverage.

Learn more today

More detailed Arkansas auto insurance information can be found at the Arkansas Insurance Department website. Arkansas consumers can find out industry alerts, read industry bulletins, view a list of available companies, and file complaints about an insurance agent or broker.

Additional helpful sites include NAIC.org's Understanding your Policy and this directory of Prescott insurance agents.