Auto Insurance in Royal Oak – 5 Ways to Lower Rates

If you’ve never shopped for auto insurance online, you may be confused by the hoards of online auto insurance companies and websites competing for business in Royal Oak.

If you have a policy now or are looking for a new policy, you can use these tips to cut your premiums and possibly find even better coverage. Pricing affordable auto insurance in Royal Oak is easy if you know what you’re doing. Michigan drivers just need to learn how to shop over the internet.

How to Compare Royal Oak Auto Insurance Costs

Lowering your auto insurance rates is not a difficult process. The only thing you need to do is invest a few minutes comparing rates provided by online insurance companies. This can be done using a couple different methods.

Probably the best way to find the lowest comparison rates would be an industry-wide quote request form like this one (opens in new window). This form keeps you from doing repetitive form entry for each company. One simple form gets you coverage quotes instantly. This is by far the quickest method.

Another way to compare rate quotes consists of visiting each company’s website to complete their respective quote request forms. For instance, we’ll assume you want to compare rates from Nationwide, GEICO and Farmers. To get rate quotes you would need to spend time on each company’s site to enter your coverage information, which is why the first method is more popular.

To view a list of companies in Royal Oak, click here.

The least efficient method to get comparison rates is to spend your day driving to insurance agents’ offices. Shopping for auto insurance online has reduced the need for local agents unless you prefer the trained guidance only provided by licensed Royal Oak agents. Drivers can get prices online but buy from a local insurance agent.

Whichever way you use, ensure you are comparing the exact same coverages on every quote you get. If the quotes have differing limits it’s not possible to find the best deal in Royal Oak.

Cut your auto insurance rates with these 5 discounts

Companies don’t always publicize all their discounts in an easy-to-find place, so the following is a list of both well-publicized as well as the least known discounts you could be receiving. If they aren’t giving you every credit available, you are paying more than you should be.

  • Military Rewards – Being on active duty in the military could be rewarded with lower premiums.
  • Sign Online – A handful of insurance companies may give you up to $50 simply for signing over the internet.
  • Driver Safety – Successfully completing a defensive driving course could save 5% or more and easily recoup the cost of the course.
  • Good Students Pay Less – A discount for being a good student can save 20 to 25%. Earning this discount can benefit you up until you turn 25.
  • Payment Method – If you pay your bill all at once instead of making monthly payments you could save 5% or more.

Consumers should know that many deductions do not apply to your bottom line cost. Some only reduce specific coverage prices like comprehensive or collision. So despite the fact that it appears you could get a free auto insurance policy, it just doesn’t work that way.

Quote online but work with a neighborhood agent

Some consumers would rather sit down with an agent. Good agents are trained to spot inefficiencies and give you peace of mind. The best thing about price shopping on the web is you can get better rates but still work with a licensed agent.

To help locate an agent, after submitting this simple form, your information is emailed to insurance agents in Royal Oak who will return price quotes for your coverage. You won’t need to leave your computer due to the fact that quote results will go immediately to your email address.

Selecting a company should depend on more than just the bottom line cost. These questions are important to ask:

  • Will vehicle repairs be made with aftermarket parts or OEM replacement parts?
  • How many years of experience in personal lines insurance coverages do they have?
  • Will their companies depreciate repairs to your car based on the mileage?
  • Which insurance companies are they affiliated with?
  • How much can you save by raising your physical damage deductibles?
  • Do you have coverage for a rental car if your vehicle is in the repair shop?
  • Who is covered by the car insurance policy?
  • What is the agency’s Better Business Bureau rating?

Multiple types of car insurance agents in Royal Oak

If you’re trying to find a reputable insurance agent or broker, you must know there are a couple different agency structures that differ in how they can insure your vehicles. Agents are categorized either captive or independent (non-captive). Both do a good job, but it’s important to know the difference between them because it can influence the selection process.

Captive Insurance Agents

This type of agents write business for a single company such as Liberty Mutual, Allstate, Farmers Insurance or State Farm. These agents are unable to shop your coverage around so always compare other rates. Captive agents are trained well on the products they sell and that can be a competitive advantage. Some consumers prefer to choose to use a captive agent mostly because of loyalty to the company and the convenience of having a single billing for all their coverages.

Below is a list of captive insurance agents in Royal Oak who can help you get price quotes.

  • Farmers Insurance Group – 4318 Rochester Rd – Royal Oak, MI 48073 – (248) 733-1788
  • State Farm Insurance – 821 W 11 Mile Rd – Royal Oak, MI 48067 – (248) 542-6416
  • Farm Bureau Insurance – 4000 Crooks Rd – Royal Oak, MI 48073 – (248) 655-0573
  • Allstate Insurance – 709 N Main St – Royal Oak, MI 48067 – (248) 547-0660
Independent Agencies or Brokers

Independent agents are not locked into one company so they have the ability to put coverage amongst many companies depending on which coverage is best. To transfer your coverage to a different company, the business is moved internally without you having to go to a different agency.

When searching for an agent, we recommend you get quotes from at a minimum one independent agency to ensure the widest selection of prices.Many can place coverage with different regional companies which can be an advantage.

Shown below is a short list of independent insurance agents in Royal Oak who can help you get price quotes.

  • Graham Carl Agency – 4211 W 13 Mile Rd – Royal Oak, MI 48073 – (248) 435-9707
  • William Behn Agency Inc – 3403 Rochester Rd – Royal Oak, MI 48073 – (248) 589-9811
  • Gail Miller Agency – 32844 Woodward Ave – Royal Oak, MI 48073 – (248) 744-2886
  • Berry Insurance – 1723 W 14 Mile Rd – Royal Oak, MI 48073 – (248) 549-4119
  • Crumm Insurance – 2959 Crooks Rd # 1 – Royal Oak, MI 48073 – (248) 649-6450

To view a full list of auto insurance agents in Royal Oak, go to this page.

Upon receiving reasonable responses for all questions you ask and an acceptable price quote, chances are good that you have found an insurance agent that meets your needs to insure your vehicles. Just keep in mind you can always terminate coverage at any point so don’t feel you are locked into any specific agency for any length of time.

Is there truth in advertising?

Consumers can’t ignore all the ads for car insurance savings from the likes of Progressive, Allstate and GEICO. All the companies say the same thing about savings if you move your coverage to them.

How do they all make the same claim? This is how they do it.

Different companies are able to cherry pick for the type of driver that makes them money. For example, a profitable customer could possibly be between 30 and 50, has no prior claims, and chooses high deductibles. Any new insured who fits that profile will qualify for the lowest rates and therefore will save when they switch companies.

Potential customers who do not match the requirements will be quoted a higher premium and ends up with the driver buying from a lower-cost company. The ads say “people who switch” not “everyone that quotes” save that much money. This is how insurance companies can confidently state the savings. This emphasizes why you need to get as many comparisons as possible. Because you never know which auto insurance company will fit your personal profile best.

Auto insurance coverages and their meanings

Understanding the coverages of a auto insurance policy helps when choosing appropriate coverage and proper limits and deductibles. The coverage terms in a policy can be confusing and reading a policy is terribly boring.

Collision coverage protection

This coverage pays for damage to your vehicle resulting from a collision with another car or object. A deductible applies then the remaining damage will be paid by your insurance company.

Collision insurance covers claims such as damaging your car on a curb, hitting a parking meter and sideswiping another vehicle. Collision coverage makes up a good portion of your premium, so analyze the benefit of dropping coverage from vehicles that are 8 years or older. You can also increase the deductible in order to get cheaper collision rates.


Liability insurance protects you from damages or injuries you inflict on people or other property in an accident. It consists of three limits, bodily injury per person, bodily injury per accident and property damage. As an example, you may have limits of 25/50/25 that means you have $25,000 in coverage for each person’s injuries, $50,000 for the entire accident, and property damage coverage for $25,000.

Liability can pay for things such as repair costs for stationary objects, medical services and loss of income. How much liability coverage do you need? That is a decision to put some thought into, but it’s cheap coverage so purchase as high a limit as you can afford. Michigan requires minimum liability limits of 20,000/40,000/10,000 but you should consider buying more coverage.

Comprehensive coverage (or Other than Collision)

This pays for damage caused by mother nature, theft, vandalism and other events. You need to pay your deductible first then the remaining damage will be covered by your comprehensive coverage.

Comprehensive insurance covers claims like falling objects, a tree branch falling on your vehicle and rock chips in glass. The maximum amount a auto insurance company will pay at claim time is the cash value of the vehicle, so if the vehicle’s value is low it’s probably time to drop comprehensive insurance.

save money concept

Insurance for medical payments

Personal Injury Protection (PIP) and medical payments coverage kick in for bills for funeral costs, X-ray expenses, rehabilitation expenses and hospital visits. The coverages can be used to cover expenses not covered by your health insurance plan or if there is no health insurance coverage. Coverage applies to all vehicle occupants and also covers being hit by a car walking across the street. PIP coverage is only offered in select states but can be used in place of medical payments coverage

Uninsured Motorist or Underinsured Motorist insurance

Uninsured or Underinsured Motorist coverage provides protection from other motorists when they do not carry enough liability coverage. This coverage pays for injuries sustained by your vehicle’s occupants as well as damage to your vehicle.

Due to the fact that many Michigan drivers carry very low liability coverage limits (which is 20/40/10), it only takes a small accident to exceed their coverage. For this reason, having high UM/UIM coverages is important protection for you and your family.

Best coverage at the best price

We covered a lot of ways to compare auto insurance prices online. The key thing to remember is the more rate quotes you have, the better your chances of lowering your rates. Consumers may even find the best price on auto insurance is with a small mutual company.

While you’re price shopping online, it’s not a good idea to buy lower coverage limits just to save a few bucks. There are too many instances where an insured cut physical damage coverage only to find out that the few dollars in savings costed them thousands. Your focus should be to purchase a proper amount of coverage at the best price.

The cheapest auto insurance can be purchased on the web as well as from independent agents in Royal Oak, so compare prices from both to have the best chance of lowering rates. Some auto insurance companies don’t offer online price quotes and usually these smaller companies provide coverage only through local independent agents.

Additional detailed information can be found at the Michigan Office of Financial and Insurance Regulation website. Consumers can view a list of available companies, learn about insurance regulations, and read industry bulletins.