Techniques for Lowering Your Troy, MI Car Insurance Rates

Feel like you’re a prisoner to high-priced car insurance? Trust us when we tell you there are many Troy consumers feeling the pinch from expensive car insurance. Companies like GEICO, Progressive and Allstate persitently shower you with ad campaigns and it can be hard to sift through the bull and do the work needed to find the best deal.

It’s important to get comparison quotes on a regular basis since insurance rates are constantly changing. Just because you had the lowest rates six months ago you may be paying too much now. Block out anything you think you know about car insurance because I’m going to let you in on the secrets to the easiest way to save money, get proper deductibles and limits, all at the lowest rate.

Don’t miss out on these money-saving discounts

Insuring your vehicles can cost a lot, but you may find discounts to reduce the price significantly. Certain discounts will be triggered automatically at quote time, but a few must be asked about before you will receive the discount. If you don’t get every credit you deserve, you’re paying more than you need to.

• Resident Student – Children who live away from home and do not have a car may qualify for this discount.
• Seat Belt Usage – Drivers who require all occupants to use their safety belts can save 10% or more on the medical payments or PIP coverage costs.
• Drive Safe and Save – Drivers who avoid accidents can pay as much as 50% less than drivers with accident claims.
• Military Rewards – Having a deployed family member could mean lower rates.
• New Car Discount – Adding a new car to your policy can save up to 30% because new vehicles have to meet stringent safety requirements.
• Payment Method – If paying your policy premium upfront rather than paying monthly you could save 5% or more.

It’s important to understand that most credits do not apply to the overall cost of the policy. Most cut individual premiums such as physical damage coverage or medical payments. So despite the fact that it appears you can get free auto insurance, companies don’t profit that way. Any qualifying discounts will reduce your overall premium however.

Comparison of Car Insurance in Troy

Getting better car insurance pricing can be relatively painless. The only requirement is to take a couple of minutes to compare rate quotes provided by online insurance companies. This can be done in just a few minutes using one of these methods.

1. The recommended way to get quotes is to use a rate comparison form (click to open form in new window). This method eliminates the need for boring form submissions for every car insurance company. Filling out one form gets rate comparisons .
2. A less efficient way to get comparison quotes requires visiting each individual company website and complete a new quote form. For sake of this example, let’s assume you want rates from USAA, Liberty Mutual and Farmers. To get rate quotes you would need to take the time to go to each site and enter your information, and that’s why the first method is more popular. For a list of links to insurance companies in Troy, click here.

However you get your quotes, double check that you are using identical coverage information with every price quote. If the quotes have different liability limits then you won’t be able to decipher which rate is best in Troy.

Factors that affect insurance rates

An important part of buying insurance is that you know some of the elements that come into play when calculating the rates you pay for car insurance. Having a good understanding of what impacts premium levels empowers consumers to make smart changes that could result in better car insurance rates.

The list below includes some of the items used by your company to calculate premiums.

• Your car insurance rates can be influenced by your job – Occupations like doctors, business owners and financial analysts tend to have higher average rates attributed to stressful work requirements and long work days. Conversely, occupations such as farmers, engineers and retirees receive lower rates.
• Higher deductibles cost less – Your deductibles define the amount you are willing to pay in the event of a claim. Physical damage coverage, commonly called comprehensive (or other-than-collision) and collision coverage, protects your car from damage. Some instances where coverage would apply are running into the backend of another car, collision with an animal, and rolling your vehicle. The more money you are required to pay out-of-pocket, the bigger discount you will receive.
• Discounts for multiple policies – Many car insurance companies provide better rates to people who buy several policies from them in the form of a multi-policy discount. Even with this discount, it’s still a good idea to compare rates to make sure you are getting the best deal.
• Don’t skimp on liability – Liability coverage provides coverage if a court rules you are at fault for personal injury or accident damage. Liability provides for a legal defense which can cost thousands of dollars. Carrying liability coverage is mandatory and cheap when compared with rates for comp and collision, so drivers should carry high limits.
• Your credit rating is important – Credit history is a important factor in determining what you pay for car insurance. If your credit history is not that good, you could pay less to insure your by improving your credit score. People with high credit scores tend to be more responsible than drivers who have lower credit scores.
• The type of vehicle makes a difference – The type of vehicle you are insuring makes a huge difference in determining your rates. Small economy passenger cars generally receive the lowest base rates, but the final cost of insurance is determined by many other factors.

Do I need special coverages?

When it comes to buying the right insurance coverage, there really is not a one size fits all plan. Coverage needs to be tailored to your specific needs and a cookie cutter policy won’t apply. For instance, these questions can aid in determining whether you would benefit from an agent’s advice.

• How can I get high-risk coverage after a DUI?
• Do I get a pro-rated refund if I cancel my policy early?
• When would I need additional glass coverage?
• Am I covered if I drive in a foreign country?
• Do I really need UM/UIM coverage?
• Does my car insurance cover rental cars?

If you can’t answer these questions, you may need to chat with an insurance agent. To find lower rates from a local agent, simply complete this short form or go to this page to view a list of companies. It is quick, free and can help protect your family.

Can you really save that much by switching?

Michigan consumers can’t get away from ads that promise big savings by companies like 21st Century, Allstate and State Farm. They all make the same claim that you’ll save big if you change to them.

But how can every company make almost identical claims?

Insurance companies have a certain “appetite” for the driver that makes them money. For instance, a preferred risk might be between 25 and 40, a clean driving record, and has excellent credit. A propective insured who meets those qualifications will get very good rates and as a result will probably save a lot of money.

Consumers who do not match the requirements must pay a more expensive rate which usually ends up with the customer not buying. The ad wording is “people who switch” not “everybody who quotes” save that much money. That is how companies can truthfully claim big savings.

This illustrates why you need to get quotes from several different companies. Because you never know which car insurance company will fit your personal profile best.

A little work can save a LOT of money

You just read a lot of tips how to lower your car insurance rates. The key concept to understand is the more quotes you get, the higher the chance of saving money. You may even discover the best prices are with the smaller companies. Regional companies can often insure niche markets at a lower cost compared to the large companies like State Farm and Allstate.

As you prepare to switch companies, never buy poor coverage just to save money. In many cases, consumers will sacrifice uninsured motorist or liability limits only to regret that it was a big mistake. The proper strategy is to get the best coverage possible at the best price, not the least amount of coverage.

Additional resources for Michigan consumers

Much more information about car insurance in Michigan can be found on the website for the Michigan Office of Financial and Insurance Regulation found here. Visitors are able to find a variety of consumer forms, view a list of available companies, download brochures, and find disaster information.