In our modern digital era, just about all the large dependable auto insurance companies offer online quotes. However, is it really possible to get the best price from the large, well known companies? Or can you get a lower rate by going with a smaller company? 99 times out of 100, you will.
This only makes sense. The big companies spend millions per year in advertising. Being well known and prominent allows them to compete in the marketplace on factors other than price. When you consider advertising costs and the fact that they do not have to compete on price, the result is that the big auto insurance companies charge more.
Every business wants to earn a profit. When a business spends millions on advertising, it doesn’t do that to lose money. It is a cost that has to be covered. Businesses cover their costs from the money that they take in from selling their products or services. Every cost has to be covered. What is left over after everything has be paid is the profit.
Dreaded were the days of making an appointment at your local insurance agency and accepting what was presented to you. With the power of the internet the consumer is able to make the desired insurance selections relating to their personal needs.
Despite what you may have heard, you don’t have to reduce your policy limits to get lower rates. The first step is to comparison shop online so that you have a baseline of several quotes from which you can compare and whittle away at.
Make sure you ask your broker for any discounts that the company offers. It’s very easy to forget to do this and yet most agents aren’t too quick to offer the discounts on their own. A clean driving record, good credit, defensive driving, an accident free record, anti-theft devices, safety equipment like airbags, and even a homeowner’s policy can reduce your car insurance rate. It never hurts to ask!
Your rates will also drop if you have safety equipment such as air bags, seat belts, side impact beams, or anti lock brakes. All of these can significantly reduce your premiums.
You may want to consider trading in your vehicle if it has a poor safety rating or lots of horsepower. Besides having a perfect driving record, the type of vehicle you drive will play the biggest part in the cost of your car insurance.
Remember, a small amount of time spent using your mouse and computer can save you a bundle each year on your car insurance premiums.