Strategies for Lowering Your Madison, SD Car Insurance Rates

Feel like you’re a prisoner to an underperforming, overpriced car insurance policy? Believe me, many consumers are feeling buyer’s remorse and feel like there’s no way out. Since consumers have many different company options, it can be diffult for consumers to find the right company.

Consumers should take time to shop coverage around on a regular basis since rates change frequently. Even if you got the best rates two years ago a different company probably has better rates today. Forget anything you know (or think you know) about car insurance because you’re about to learn how to quote online to lower your rates without sacrificing coverage.

Buying car insurance in Madison is quite easy. If you have insurance now or need a new policy, you can use this information to reduce the price you pay and still get good coverage. South Dakota drivers only need to know the most effective way to find the lowest price online.

Informed Drivers can Cut Their Rates

Consumers need to have an understanding of the rating factors that play a part in calculating your car insurance rates. When you know what positively or negatively influences your rates helps enable you to make changes that can help you get big savings.

  • Lower rates with optional equipment – Purchasing a vehicle with a theft deterrent system can get you a discount on your car insurance. Theft prevention features such as GM’s OnStar, tamper alarm systems and vehicle immobilizers all aid in stopping your car from being stolen.
  • Performance makes a difference – The performance of the vehicle you are insuring makes a big difference in your rates. The lowest base rates are generally reserved for lower performance four cylinder passenger cars, but other factors influence the final cost greatly.
  • Sex matters – Statistics show women are more cautious behind the wheel. However, this does not mean men are WORSE drivers than women. Both sexes are in accidents at a similar rate, but the male of the species have costlier accidents. Men also tend to receive more costly citations such as reckless driving. Youthful male drivers are most likely to cause an accident and therefore are the most expensive to insure.
  • Cautious drivers pay less – Only having one speeding ticket may increase your cost by as much as thirty percent. Drivers with clean records have lower premiums compared to drivers with tickets. Drivers with flagrant tickets such as hit and run, DWI or reckless driving convictions are required to submit a SR-22 form with the DMV in their state in order to keep their license.
  • Do you work long hours in a high stress job? – Occupations like lawyers, business owners and accountants are shown to have higher rates than average due to stressful work requirements and lengthy work days. On the flip side, occupations such as actors, athletes and the unemployed pay the least.

Where Can I Get Cheap Madison Car Insurance?

Effectively comparing car insurance prices can be challenging if you don’t know the most efficient way to do it. You can waste a lot of time talking to insurance agencies in Madison, or you can stay home and use online quoting to get pricing more quickly.

All the larger companies belong to a marketplace where prospective buyers enter their policy data once, and each participating company can provide price quotes based on that information. This saves time by eliminating repetitive form submissions for each company you want a rate for. To find out how much you’re overpaying now click here (opens in new window).

The only drawback to using this type of system is you are unable to specify which insurance companies you will receive quotes from. If you wish to select from a list of companies to receive pricing from, we have a listing of car insurance companies in South Dakota. View list of South Dakota insurance companies.

Which method you use is up to you, but be sure to compare the exact same coverage limits and deductibles with every price quote. If each company quotes unequal deductibles or liability limits it’s not possible to truly determine the lowest rate in Madison.

Do drivers who switch really save?

Consumers in South Dakota get pounded daily by advertisements that promise big savings from companies such as Progressive, Allstate and GEICO. All the ads make an identical promise of big savings if you move your policy.

How does each company claim to save you money?

All companies have a certain “appetite” for the driver that makes them money. A good example of a preferred risk could possibly be over the age of 40, owns a home, and has a high credit rating. A customer getting a price quote who meets those qualifications will get the preferred rates and is almost guaranteed to save when they switch companies.

Drivers who are not a match for this ideal profile will be charged higher premiums which leads to business going elsewhere. The ads state “people who switch” not “everyone that quotes” save that kind of money. That’s the way insurance companies can advertise the savings. That is why drivers should quote coverage with many companies. Because you never know the company that will fit your personal profile best.Madison South Dakota insurance comparisons

Do you qualify for discounts?

Companies that sell car insurance do not advertise all their discounts in an easy-to-find place, so the following is a list of both the well known and the harder-to-find ways to save on car insurance. If they aren’t giving you every credit available, you’re just leaving money on the table.

  • Anti-lock Brake Discount – Vehicles with anti-lock braking systems can reduce accidents and will save you 10% or more.
  • Drive Less and Save – Fewer annual miles could qualify for lower rates on the low mileage vehicles.
  • No Claims – Drivers with accident-free driving histories pay much less as compared to frequent claim filers.
  • Anti-theft System – Vehicles equipped with anti-theft or alarm systems can help prevent theft and qualify for as much as a 10% discount.
  • Multiple Policy Discount – When you combine your home and auto insurance with the same insurance company you may save 10% to 20% off each policy.
  • Passive Restraints – Factory air bags and/or automatic seat belt systems can get savings up to 30%.
  • Accident Forgiveness – Some insurance companies will allow you to have one accident before hitting you with a surcharge if you are claim-free for a set time period.

Consumers should know that some credits don’t apply the the whole policy. Some only apply to the price of certain insurance coverages like medical payments or collision. Just because you may think it’s possible to get free car insurance, companies wouldn’t make money that way.

To see a list of insurers who offer car insurance discounts in Madison, follow this link.

What happened to insurance agents?

Some consumers would prefer to buy from a local agent and there is nothing wrong with that. Educated insurance agents can point out coverage gaps and help in the event of a claim. One of the great benefits of getting online price quotes is the fact that you can find lower rates and still have an agent to talk to.

Upon completion of this quick form, your coverage information is transmitted to local insurance agents who will return price quotes for your business. You don’t have to even leave your home since price quotes are sent immediately to your email address. Now that’s easy!

Choosing an insurer should depend on more than just a cheap price. These are valid questions to ask:

  • Do they regularly work with personal auto policies?
  • Do they review policy coverages at every renewal?
  • Will vehicle repairs be made with aftermarket parts or OEM replacement parts?
  • Are claims handled at the agent’s location?
  • Do the coverages you’re quoting properly cover your vehicle?

Insurance agent types

When finding a reputable insurance agent or broker, you must know there are a couple types of agencies that differ in how they can insure your vehicles. Madison agents can either be independent or captive. Either one can write coverage properly, but it’s good to learn the difference between them because it can influence your agent selection.

Captive Agents

Captive insurance agents have only one company to place business with like Liberty Mutual, State Farm, Allstate and AAA. These agents are not able to provide prices from multiple companies so always compare other rates. They receive extensive training on their products and sales techniques which helps them sell insurance even at higher premiums.

Listed below are captive insurance agencies in Madison who may provide you with price quotes.

Farm Bureau Financial Svc – 210 N Egan Ave – Madison, SD 57042 – (605) 256-6501
State Farm Insurance – 730 S Washington Ave – Madison, SD 57042 – (605) 256-2363
Farmers Insurance Group – 120 E Center St – Madison, SD 57042 – (605) 256-6334
American Family Insurance – 301 N Lincoln Ave – Madison, SD 57042 – (605) 256-3983

Independent Agencies or Brokers

Independent agents are not required to write business for one company but instead can place your coverage with many different companies and possibly get better coverage at lower prices. To move your coverage to a new company, your agent can switch companies and you won’t have to switch agencies. When searching for an agent, you should always include price quotes from multiple independent agents to have the most options to choose from.

Madison South Dakota insurance comparisons

Below are Madison independent agencies that can give you rate quotes.

Insurance Associate Inc – 122 W Center St – Madison, SD 57042 – (605) 256-6608
First Madison Insurance – 109 S Egan Ave – Madison, SD 57042 – (605) 256-6634

For a complete listing of licensed insurance agents in Madison, click here to link.

After getting reasonable responses to these questions and an acceptable price quote, you may have just found an insurance agency that meets your needs to provide car insurance coverage.

Even more information can be read at the South Dakota Division of Insurance website. South Dakota drivers can read consumer alerts, report car insurance fraud, and view a list of available companies.

The articles below may also help you learn more about car insurance in Madison

Keep this in mind

As you go through the steps to switch your coverage, never skimp on coverage in order to save money. Too many times, an insured dropped uninsured motorist or liability limits only to regret at claim time they didn’t purchase enough coverage. The proper strategy is to buy the best coverage you can find at the best price while still protecting your assets.

In this article, we presented many ideas to compare car insurance prices online. The most important thing to understand is the more times you quote, the better your comparison will be. Consumers could even find that the biggest savings come from a company that doesn’t do a lot of advertising. These companies often have lower prices on specific markets than their larger competitors like Allstate or State Farm.