How to Know You're Paying Too Much for Auto Insurance in Rock Hall

I can't think of a single person who enjoys paying for auto insurance, particularly when their premiums are through the roof.

Because you have many choices of insurance companies, it can be hard to find the most cost effective insurance company.

It's important to get comparison quotes occasionally because prices are constantly changing. Just because you found the lowest rates last year you can probably find a better price now. So just forget anything you know (or think you know) about auto insurance because you're going to get a crash course in the tricks you need to know to save on auto insurance.

Understand what determines the rate you pay

Consumers need to have an understanding of the different types of things that play a part in calculating the rates you pay for auto insurance. When you know what positively or negatively influences your rates helps enable you to make changes that can help you get much lower annual insurance costs.

  • Cautious drivers pay less - Drivers with clean records receive lower rates than their less careful counterparts. Even one speeding ticket may increase your cost twenty percent or more. Drivers who get dangerous violations like hit and run, DWI or reckless driving convictions may be required to submit a SR-22 form to the state department of motor vehicles in order to prevent a license revocation.
  • Multiple policies with one company can save - Some insurers give discounts to insureds who consolidate policies with them, otherwise known as a multi-policy discount. Even with this discount, you may still want to comparison shop to confirm you are receiving the best rates possible.
  • Lower deductibles cost more - Physical damage coverage, also known as collision and other-than-collision, protects your car from damage. Some examples of claims that would be covered would be colliding with a building, damage from fire, and rolling your vehicle. Deductibles for physical damage are the amount of money you are willing to pay out-of-pocket in the event of a claim. The higher the amount the insured has to pay upfront, the lower your rates will be.
  • Do you work long hours in a high stress job? - Occupations like lawyers, business owners and stock brokers are shown to have the highest rates attributed to high stress and long work days. On the other hand, occupations such as scientists, students and retirees pay the least.

Maryland auto insurance

These discounts can lower your rates

Companies offering auto insurance don't always list every available discount very well, so we break down both the well known and the more hidden savings tricks you should be using.

  • Discount for Swiching Early - A few companies offer discounts for buying a policy prior to your current policy expiration. The savings is around 10%.
  • Theft Prevention Discount - Cars that have factory anti-theft systems are stolen less frequently and qualify for as much as a 10% discount.
  • Homeowners Savings - Being a homeowner can help you save on auto insurance because maintaining a house is proof that your finances are in order.
  • Good Student - This discount can earn a discount of 20% or more. This discount can apply up until you turn 25.
  • No Claims - Good drivers with no accidents can save substantially compared to accident-prone drivers.

Keep in mind that most discount credits are not given to your bottom line cost. Some only apply to the cost of specific coverages such as medical payments or collision. So when it seems like adding up those discounts means a free policy, it just doesn't work that way.

To choose providers with discount auto insurance rates in Maryland, click here to view.

Are you falling for claims of savings?

Companies like State Farm and Allstate consistently run ads on television and other media. All the ads make an identical promise that you can save if you change your policy. But how can every company claim to save you money?

Insurance companies have a certain "appetite" for the right customer that makes them money. For example, a preferred risk might be over the age of 50, owns a home, and drives newer vehicles. A customer getting a price quote who meets those qualifications will qualify for the lowest rates and as a result will probably save a lot of money.

Consumers who are not a match for this ideal profile will be charged higher rates and ends up with the customer not buying. The ad wording is "people who switch" not "everybody who quotes" save that kind of money. That is how insurance companies can claim big savings. That is why you should get a wide range of price quotes. It's impossible to know which company will give you the biggest savings.

Different people need different coverages

When buying adequate coverage for your vehicles, there really is no perfect coverage plan. Each situation is unique so your insurance should reflect that For instance, these questions might point out whether you may require specific advice.

  • Does my car insurance cover rental cars?
  • Do I need special endorsements for business use of my vehicle?
  • When do I need to add a new car to my policy?
  • Do I need to file an SR-22 for a DUI in Maryland?
  • Does my policy cover my teen driver if they drive my company car?
  • Will I be non-renewed for getting a DUI or other conviction?
  • Am I getting all the discounts available?

If you're not sure about those questions but you think they might apply to your situation then you might want to talk to a licensed agent. If you want to speak to an agent in your area, complete this form or click here for a list of auto insurance companies in your area.

For more Maryland car insurance information

Additional detailed information can be found at the Maryland Insurance Administration website. Visitors are able to file complaints about a company, read consumer alerts, report car insurance fraud, and read industry bulletins.

Other informative sites include III.org's auto insurance page and this directory of insurance agents in Rock Hall Maryland.

Rock Hall auto insurance quote

The best insurance company isn't always the cheapest

We covered some good ideas how you can save on auto insurance. It's most important to understand that the more you quote, the higher your chance of finding lower rates. You may even discover the biggest savings come from a company that doesn't do a lot of advertising. Some small companies can often insure niche markets at a lower cost than the large multi-state companies such as .

When trying to cut insurance costs, don't be tempted to buy poor coverage just to save money. There have been many cases where an insured cut uninsured motorist or liability limits only to regret that it was a big mistake. Your goal should be to get the best coverage possible at an affordable rate, not the least amount of coverage.

Affordable auto insurance can be sourced both online in addition to many Rock Hall insurance agents, and you should be comparing both to get a complete price analysis. A few companies do not provide online price quotes and many times these regional insurance providers only sell through independent insurance agents.