How to Know You're Spending Too Much for Auto Insurance in Renfro Valley

Expensive auto insurance can empty your personal savings and force you to make sacrifices. Comparison shopping is a smart way to help make ends meet.

There is such a variety of to buy insurance from, and even though it's nice to have multiple companies, so many choices can make it hard to compare rates.

Policy discounts you shouldn't miss

Companies don't always advertise all available discounts very clearly, so we break down both well-publicized as well as the least known auto insurance savings.

Multiple Cars - Buying insurance for all your vehicles on one policy may reduce the rate for each vehicle.
Paperless Signup - Certain companies will discount your bill up to fifty bucks for buying your policy over the internet.
Fewer Miles Equal More Savings - Low mileage vehicles can earn lower rates on the low mileage vehicles.
Clubs and Organizations - Participating in a qualifying organization could qualify you for a break when buying auto insurance.
Own a Home - Owning a home in Renfro Valley may trigger a auto insurance policy discount because maintaining a house is proof that your finances are in order.
Drivers Education - Make teen driver coverage more affordable by requiring them to enroll in driver's education if offered at their school.

As a disclaimer on discounts, most credits do not apply to all coverage premiums. The majority will only reduce individual premiums such as physical damage coverage or medical payments. So even though they make it sound like you can get free auto insurance, auto insurance companies aren't that generous.

Understand what determines the rate you pay

Smart consumers have a good feel for some of the elements that play a part in calculating the price you pay for auto insurance. Knowing what impacts premium levels helps enable you to make changes that could result in lower auto insurance prices.

Shown below are a few of the "ingredients" that factor into premiums.

Liability coverage protects you - Your policy's liability coverage is the protection if a court rules you are at fault for damages caused by your negligence. It provides for a legal defense starting from day one. Carrying liability coverage is mandatory and cheap as compared to coverage for physical damage, so buy as much as you can afford.
Your spouse saves you money - Having a spouse helps lower the price when buying auto insurance. Having a spouse usually means you are more responsible and it's proven that married drivers get in fewer accidents.
Extra coverages can waste money - There are quite a few add-on coverages that you can get tricked into buying on your auto insurance policy. Coverages for vanishing deductibles, accidental death and membership fees are examples of these. These may sound like a good investment when you first buy your policy, but your needs may have changed so eliminate them to save money.
Your stress level may be raising your rates - Occupations such as lawyers, architects and financial analysts are shown to have higher average rates because of high stress levels and lengthy work days. Conversely, occupations like pilots, engineers and retirees pay the least.
Too many auto insurance claims drive up costs - Auto insurance companies in Kentucky provide lower rates to insureds who do not rely on their insurance for small claims. If you file claims often, you can expect either policy cancellation or increased premiums. Auto insurance is designed for the bigger claims that can't be paid out-of-pocket.
Pleasure use saves money - The higher the mileage driven in a year's time the more you'll pay to insure your vehicle. The majority of insurers apply a rate based upon how you use the vehicle. Vehicles left parked in the garage qualify for better rates compared to those used for work or business. Make sure your auto insurance declarations sheet shows the correct usage for each vehicle.

Save $429 a year? Really?

Allstate, GEICO and Progressive consistently run television and radio advertisements. All the companies say the same thing about savings if you change your policy. How does each company make almost identical claims?

All companies have a preferred profile for the right customer that earns them a profit. For example, a profitable customer could possibly be between the ages of 30 and 50, insures multiple vehicles, and chooses high deductibles. A customer getting a price quote who fits that profile gets the lowest rates and is almost guaranteed to save when switching.

Potential customers who don't qualify for these standards must pay a higher premium which usually ends up with the driver buying from a lower-cost company. Company advertisements say "customers that switch" but not "drivers who get quotes" save that kind of money. This is how companies can truthfully state the savings. This illustrates why drivers should compare many company's rates. It's impossible to know which insurance companies will give you the biggest savings.

Even more information can be found at the Kentucky Department of Insurance website. Kentucky consumers can find out which companies have the most complaints, get help finding coverage, discover disciplinary actions, and read industry bulletins.

Final considerations

Cheap auto insurance is attainable online in addition to many Renfro Valley insurance agents, and you should compare price quotes from both to have the best rate selection. Some insurance companies do not provide you the ability to get quotes online and usually these regional insurance providers provide coverage only through local independent agents.

When buying insurance coverage, never skimp on coverage in order to save money. In too many instances, drivers have reduced uninsured motorist or liability limits only to regret that their decision to reduce coverage ended up costing them more. Your focus should be to buy the best coverage you can find at a price you can afford while not skimping on critical coverages.