Tightwads Guide for Saving on Whippany Auto Insurance

Did you fall for a flashy sales pitch and buy an underperforming, overpriced auto insurance policy? Trust us, you're not alone. Companies like State Farm, Allstate, GEICO and Progressive all promote huge savings with advertising and it can be hard to sift through the bull and find the best price available.

It's important to compare rates at least once a year since insurance rates are constantly changing. Even if you think you had the best deal a year ago you can probably find a better price now. So just block out anything you think you know about auto insurance because it's time to teach you the proper way to properly buy coverages and cut your premium.

You have some control over your rates

Consumers need to have an understanding of the different types of things that play a part in calculating auto insurance rates. Having a good understanding of what influences your rates enables informed choices that may reward you with better auto insurance rates.

Please use or commuting - The higher the mileage driven in a year the more you will pay for auto insurance. Most insurance companies price each vehicle's coverage based on their usage. Cars and trucks that are left in the garage can get a lower rate compared to those used for work or business. Verify your auto insurance declarations sheet is rated on the correct usage for each vehicle, because it can save money.
Better crash test results mean better rates - Safer cars can get you lower premiums. These vehicles reduce injuries and better occupant protection means lower claim amounts and more competitive rates for policyholders.
You might want pay the small claims yourself - Car insurance companies in New Jersey award cheaper rates to drivers who are claim-free. If you file claims often, you can look forward to either policy cancellation or increased premiums. Car insurance is intended to be relied upon for the large, substantial claims.
Where you live - Choosing to live in a small town can be a good thing when buying auto insurance. Fewer people translates into fewer accidents and also fewer theft and vandalism claims. Drivers in populated New Jersey areas tend to have much more traffic to deal with and longer commutes to work. Longer commute distances means higher likelihood of an accident.
How many coverages with the same company - Some insurers will give a discount to people who have multiple policies with them such as combining an auto and homeowners policy. Discounts can be five, ten or even twenty percent. Even with this discount, it's still a good idea to comparison shop to ensure the best deal. Drivers may still find a better deal by splitting coverages up.
Do you need those extra coverages? - There are quite a few extra coverages that you can buy if you aren't careful. Insurance for vanishing deductibles, towing coverage and term life insurance may be costing you every month. These coverages may sound good initially, but if they're wasting money eliminate the coverages to reduce your premium.
How credit affects auto insurance rates - Credit score is a big factor in calculating your auto insurance rates. Drivers who have high credit ratings tend to be better drivers and file fewer claims than those with poor credit. If your credit is low, you could save money insuring your by improving your credit score.

Policy discounts you shouldn't miss

Car insurance companies don't list all their discounts in a way that's easy to find, so here is a list some of the best known and also the lesser-known savings tricks you should be using. If you aren't receiving every discount possible, you are paying more than you should be.

Life Insurance - Some companies give better rates if you take out life insurance from them.
Drive Less and Save - Low mileage vehicles can qualify you for discounted rates on garaged vehicles.
Drivers Ed for Students - Cut your cost by having your teen driver complete a driver education course if offered at their school.
Bundle and Save - If you insure your home and vehicles with one company you may save 10% to 20% off each policy.
Anti-theft System - Cars that have factory anti-theft systems help deter theft and earn discounts up to 10%.

Keep in mind that most discount credits are not given the the whole policy. The majority will only reduce specific coverage prices like collision or personal injury protection. So even though it sounds like you would end up receiving a 100% discount, it just doesn't work that way.

To choose companies with discount auto insurance rates in Whippany, click here to view.

Save $429 a year? Really?

New Jersey drivers can't ignore all the ads that promise big savings by GEICO, State Farm and Progressive. They all seem to make an identical promise that you can save if you change to their company.

How can each company say the same thing? It's all in the numbers.

Different companies are able to cherry pick for the driver that makes them money. An example of a desirable insured might be profiled as between 30 and 50, has no tickets, and has excellent credit. A propective insured who meets those qualifications gets the lowest rates and is almost guaranteed to save when they switch companies.

Consumers who don't qualify for the requirements will have to pay higher prices and ends up with business not being written. Company advertisements say "customers who switch" but not "drivers who get quotes" save that much. That's the way insurance companies can make those claims. Because of the profiling, you should compare as many rates as you can. It's not possible to predict which auto insurance company will have the lowest rates.

Additional detailed information is available at the New Jersey Department of Banking and Insurance website. New Jersey drivers can file complaints about an insurance agent or broker, find disaster information, download brochures, and view agent and company licensing information.

Best coverage at the best price

While you're price shopping online, it's not a good idea to buy poor coverage just to save money. In many instances, an insured dropped liability limits or collision coverage only to find out they didn't purchase enough coverage. The ultimate goal is to buy the best coverage you can find at the best price.

Affordable auto insurance is attainable on the web and also from your neighborhood Whippany agents, so compare prices from both in order to have the best price selection to choose from. Some companies may not provide online price quotes and most of the time these smaller companies sell through independent agents.