Most people are quite content to keep renewing for years because companies utilize many car insurance secrets that make sure policyholders don’t leave. They feel privileged when they get measly five percent savings after being a loyal customer for five years. What they don’t realize is that they are losing a fifty percent cut somewhere else because they never check. We will reveal a few secrets to cheaper rates like this below.
You may be missing out on simple auto insurance tricks like checking and comparing quotes while you look at complicated ways of saving money and trying hard for years to qualify for them.
You will probably discover in this post that you have already known all these tips and tricks but never even thought about using them to your advantage. The secret is that the simplest ones are usually the most effective. It is shocking that most policyholders are unaware of even the simplest trick to bring down costs.
Getting small discounts here and there is great. However, you may start with extortionately high premiums that those may mean nothing. Standard rates from another firm may be already lower than the existing one. That is even before they apply further rate cuts for certain qualifying drivers.
Therefore, you should look at the end result. One of the most used tricks known to automobile insurers is that people love these small discounts and stop complaining afterwards. Agents love to show that they are offering a deal sweetener. You have a reason to be happy only if those savings stand well when compared to the rest of the quotations. Otherwise they persuade you easily with some sales gimmicks.
Don’t be tricked by simple sales tactics. Remember, a policy is cheap only if it is hard to find the same coverage anywhere else at a similar price.
10 Secrets to Cheap Car Insurance
- Over 70% of policies are sold by the 10 largest and most recognized brands in the US like State Farm, Allstate, Progressive and GEICO. So, if anyone suggests that cheap automobile insurance carriers are no good you can lough out loud because it is likely that one of these gigantic corporations is going to be offering that low quote. Think about it for a second why they are so big and popular and how they can corner the market if they aren’t offering affordable policies? You probably have heard such names so many times and will have no objection to any of them. Even between them and for a basic Liability policy there could be hundreds of dollars differences in premium. These differences would be heightened in big cities, for high risk and young drivers.
- Over 70% of policies are for full coverage. So, if you are thinking to just buy a Liability only think again because most companies offer cheap full coverage vehicle insurance. You should always try to get as much protection as possible for the money you allocated.
- Teenage drivers are 4 times more likely to get involved in a fatal crash. So, think out of the box if you want the most affordable insurance for youngsters and look into pay as you drive alternatives. Let’s be realistic because they aren’t going to offer you low rates until you offer them some solid reasons like permission to monitor your driving.
- Auto-renewal option is the biggest secret companies have. They make it look like they are doing you a favor by making sure that it is renewed automatically. It is true that this a step to ensure there is no lapse. However, you shouldn’t entirely count on that because the payment details may change in time like you may get a new card issued to replace the one on record. So, you should always make sure it is renewed with the most competitive terms, rather than just carrying on with the expensive prices.
- Shop until you drop. It is just a saying. It takes about an hour to shop around and get car insurance coverage. And shopping for the best deals is the biggest arsenal you have. If you stay put year after year without checking for alternatives you can easily end up paying thousands and thousands of dollars more in that time.
- Loyalty hardly ever pays. Don’t be naïve to think that they will look after you. They have shareholders to think about first. You may feel lucky that you got 5% loyalty discount. What you don’t know is that you are spending 50% more than you should have.
- Many others will pay you more for switching than the loyalty discount you get. So, once again, it isn’t a big deal when there are much better offers somewhere else.
- Your driving records are public knowledge and follow you wherever you go. Many people reason in their head that they have built a record with the current one and that is why they are getting good deals. If they were to switch to a rival they would start all over again. It is total nonsense because everyone you go for a quote can see them and that is why they offer you high or low rates.
- Did you know that many people get quotes out of curiosity and switch after finding out how low premiums can go. So, don’t be afraid of getting a few online and comparing them with current renewal terms. You are totally free to stay with them in any case. So, you have nothing to lose.
- One last auto insurance secret is to get at least 5 quotes and compare them. Why it is important is that you may be suspicious to see one very low offer. However, your mind will rest when you see several other companies are offering similarly economical premiums. Then, you will understand that it isn’t them but it is the existing one.
When buying anything you should first shop around before paying too much attention to what the salesperson is saying. Get a few quotes and see where they are stacking up. You could really save money in this highly competitive vehicle insurance market and you do not have to compromise on the coverage or quality.