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

Scraping up a payment for overpriced auto insurance can empty your personal savings and make it impossible to make ends meet. Doing a price comparison is a smart way to lower your monthly bill.

Having so many companies to choose from, it's nearly impossible to locate the most affordable insurer.

It's important to check auto insurance prices quite often since insurance rates are constantly changing. Even if you got the lowest rates two years ago a different company probably has better rates today. So ignore everything you know about auto insurance because it's time to teach you the tricks you need to know to save money, get proper coverage and the best rates.

Buying car insurance in Tollesboro is easy if you know what you're doing. If you have car insurance now, you stand a good chance to be able to lower your premiums substantially using these methods. But Kentucky vehicle owners do need to know the way companies price insurance differently and use this information to your advantage.

Take advantage of discounts

Companies do not list every available discount very well, so we break down some of the best known and also the lesser-known auto insurance savings.

Anti-lock Brake Discount - Cars that have steering control and anti-lock brakes can reduce accidents and earn discounts up to 10%.
Resident Student - Children who attend school more than 100 miles from home and do not have access to a covered vehicle may qualify for this discount.
Multi-policy Discount - If you have multiple policies with the same company you could get a discount of up to 20% off your total premium.
Passive Restraints - Vehicles with factory air bags or automatic seat belts can receive discounts of more than 20%.
Government Employees - Active or retired federal employment can save as much as 8% with certain companies.
Low Mileage - Fewer annual miles can earn lower rates on the low mileage vehicles.
Accident Free - Drivers who don't have accidents can save substantially compared to drivers who are more careless.
Discount for Life Insurance - Select insurance companies reward you with a break if you buy a life insurance policy as well.
Anti-theft Discount - Anti-theft and alarm systems are stolen less frequently and earn discounts up to 10%.
Military Rewards - Having a deployed family member may qualify for rate reductions.

Drivers should understand that most credits do not apply to the overall cost of the policy. Most only cut specific coverage prices like comprehensive or collision. So even though it sounds like it's possible to get free car insurance, companies wouldn't make money that way.

What determines how much you pay?

Smart consumers have a good feel for some of the elements that help determine auto insurance rates. When you know what positively or negatively controls the rates you pay allows you to make educated decisions that can help you get lower auto insurance prices.

The following are a few of the "ingredients" companies use to determine your rates.

Multi-policy discounts can save money - Many companies give discounts to people who carry more than one policy, otherwise known as a multi-policy discount. Even though this discount sounds good, it's still a good idea to compare other company rates to make sure you are getting the best deal.
Older drivers pay less - Teenage drivers in Kentucky are known to be less responsible when driving so auto insurance rates are higher. Having to add a youthful driver to your policy can break the bank. More mature drivers tend to be more responsible, tend to file fewer claims and receive fewer citations.
Your location affects your rates - Residing in a rural area has it's advantages when buying auto insurance. City drivers tend to have congested traffic and longer commutes to work. Fewer people means fewer accidents.
Better credit means lower rates - Your credit history is a big factor in determining what you pay for auto insurance. So if your credit is not that good, you could potentially save money when insuring your by improving your rating. Drivers with good credit tend to file fewer claims and have better driving records as compared to drivers with lower credit scores.
An active claims history can cost you - Insurance companies in Kentucky provide discounts to people who file claims infrequently. If you tend to file frequent claims, you can expect either a policy non-renewal or much higher rates. Auto insurance is intended to be relied upon for the bigger claims that can't be paid out-of-pocket.

How to know if you need help

When it comes to buying adequate coverage for your personal vehicles, there really is no single plan that fits everyone. Every situation is different and a cookie cutter policy won't apply. These are some specific questions may help you determine whether your personal situation might need an agent's assistance.

Do I need PIP (personal injury protection) coverage in Kentucky?
Do I pay less if my vehicle is kept in my garage?
What are the best liability limits?
Should I drop comprehensive coverage on older vehicles?
Am I covered if I drive in a foreign country?
Can I rate high risk drivers on liability-only vehicles?
Is my dog or cat covered if injured in an accident?
Is my cargo covered for damage or theft?

If you don't know the answers to these questions then you might want to talk to an agent. If you want to speak to an agent in your area, take a second and complete this form or click here for a list of auto insurance companies in your area.

Are auto insurance companies telling the truth?

Companies like Allstate and Progressive continually stream ads on TV and radio. All the ads say the same thing that you'll save big after switching to them. But how can every company say the same thing? It's all in the numbers.

All companies have a preferred profile for the type of driver that earns them a profit. For example, a preferred risk might be profiled as between the ages of 30 and 50, insures multiple vehicles, and chooses high deductibles. A propective insured who fits that profile will qualify for the lowest rates and most likely will save a lot of money.

Potential customers who don't qualify for this ideal profile will be charged a higher premium which usually ends up with business not being written. The ad wording is "customers who switch" not "people who quote" save money. This is how companies can state the savings. That is why drivers should compare many company's rates. It's not possible to predict which insurance companies will give you the biggest savings.

More detailed Kentucky auto insurance information can be found at the Kentucky Department of Insurance website. Kentucky drivers can read consumer alerts, read enforcement actions against agents and companies, view agent and company licensing information, and find out industry alerts.

Also read more on BankRate.com's Car Insurance: When not to Skimp and this directory of Tollesboro insurance agents.

Do the work, save more money

When buying insurance coverage, don't be tempted to skimp on coverage in order to save money. Too many times, drivers have reduced uninsured motorist or liability limits only to regret that their decision to reduce coverage ended up costing them more. The aim is to purchase a proper amount of coverage at the best price, not the least amount of coverage.

Throughout this article, we presented a lot of tips how to reduce auto insurance prices online. The most important thing to understand is the more quotes you get, the better your comparison will be. Consumers may even find the lowest rates come from some of the smallest insurance companies. Regional companies may only write in your state and offer lower rates than their larger competitors like .

Budget-conscious auto insurance can be purchased on the web and with local Tollesboro insurance agents, and you should compare price quotes from both to have the best rate selection. Some insurance companies do not offer you the ability to get quotes online and many times these regional insurance providers only sell through independent insurance agents.