Things You Must Know Before Shopping for Montgomery Car Insurance Online

Finding lower rates for Montgomery car insurance can be a challenge for beginners to shopping for insurance online. People have so many options that it can turn into a big hassle to find lower rates in Montgomery.

Do you qualify for discounts?

Car insurance is not cheap, but discounts can save money and there are some available to reduce the price significantly. Some discounts apply automatically at quote time, but lesser-known reductions have to be inquired about in order for you to get them. If they aren’t giving you every credit you deserve, you are paying more than you should be.

  • Accident Forgiveness – A few companies allow you one accident without raising rates so long as you haven’t had any claims for a particular time prior to the accident.
  • Discount for Good Grades – Getting good grades can be rewarded with saving of up to 25%. Earning this discount can benefit you up until you turn 25.
  • Federal Government Employee – Employees or retirees of the government could cut as much as 10% off depending on your company.
  • Student Driver Training – Require your teen driver to successfully complete driver’s ed class in high school.
  • Seat Belts Save more than Lives – Using a seat belt and requiring all passengers to use their safety belts can save up to 15% off your PIP or medical payments premium.
  • Military Rewards – Being on active duty in the military may qualify for rate reductions.

Keep in mind that most credits do not apply to all coverage premiums. A few only apply to specific coverage prices like comprehensive or collision. So despite the fact that it appears all the discounts add up to a free policy, companies don’t profit that way. Any qualifying discounts will reduce your premiums.

For a list of companies with the best car insurance discounts in Montgomery, click this link.

Good Decisions Result in Lower Rates

An important part of buying insurance is that you know the factors that help determine the rates you pay for car insurance. Understanding what influences your rates allows you to make educated decisions that could result in big savings.

The following are a partial list of the pieces companies use to determine premiums.

  • Older drivers pay less – Youthful drivers in Alabama are known to get distracted easily when driving so car insurance rates are higher. If you’ve ever had to add a youthful driver to your car insurance policy can break the bank. More mature drivers are more responsible, tend to file fewer claims and receive fewer citations.
  • Poor driving leads to higher costs – Even one ticket can bump up the cost twenty percent or more. Drivers who don’t get tickets have lower premiums than people who have multiple driving citations. If you have severe violations such as DUI or reckless driving may find they need to file a proof of financial responsibility form (SR-22) with their state DMV in order to drive a vehicle legally.
  • The type of vehicle makes a difference – The performance level of the vehicle you own makes a huge difference in your rates. The lowest rates tend to be for low performance passenger cars, but the final cost of insurance is determined by many other factors.
  • Special features that cut premiums – Driving a car that has an advanced theft prevention system can get you a discount on your car insurance. Theft prevention devices such as GM’s OnStar, tamper alarm systems and vehicle immobilizers all hinder auto theft.
  • Liability coverage is peace of mind – Your policy’s liability coverage is the protection in the event that a jury decides you are liable for damages from an accident. It will provide you with a defense in court up to the limits shown on your policy. Liability is cheap as compared to coverage for physical damage, so do not skimp.
  • Small claims can cost you – Auto insurance companies in Alabama award better rates to people who do not file claims often. If you file claims often, you can expect either policy cancellation or increased premiums. Your insurance policy is designed for the bigger claims that can’t be paid out-of-pocket.

How do I know if I need professional advice?

When it comes to buying the best car insurance coverage, there is no “best” method to buy coverage. Everyone’s situation is unique.

Here are some questions about coverages that might point out if your insurance needs will benefit from professional help.

  • Is business equipment covered while in my vehicle?
  • Do I really need UM/UIM coverage?
  • Am I covered if I wreck a rental car?
  • Should I file a claim if it’s only slightly more than my deductible?
  • Why is insurance for a teen driver so high in Montgomery?
  • How much liability coverage do I need in Alabama?

If you’re not sure about those questions, you might consider talking to an insurance agent. If you don’t have a local agent, take a second and complete this form. It’s fast, doesn’t cost anything and you can get the answers you need.

What if I want to buy from a local Montgomery agent?

A small number of people would prefer to get advice from a local agent and that is OK! Agents can point out coverage gaps and help in the event of a claim. One of the great benefits of comparing rates online is you can get better rates and still have an agent to talk to. Supporting local businesses is definitely important in insurance image

After completing this quick form, the coverage information is emailed to agents in your area who will battle to get your business. You never need to drive around since price quotes are sent to the email address you provide. Now that’s easy!

If you prefer to view licensed agents in Montgomery, visit this link.

Selecting an provider should depend on more than just a low price. Any agent should have no problem answering these questions:

  • Will their companies depreciate repairs to your car based on the mileage?
  • Can glass repairs be made at your home?
  • Do they carry Errors and Omissions coverage?
  • Do they review policy coverages at every renewal?
  • Is their price quote a firm figure or are their hidden costs?
  • Do they assist clients in filing claims?

After receiving positive feedback for all questions you ask in addition to an acceptable price estimate, it’s possible that you found an insurer that will adequately provide car insurance.

Can switching companies really save?

Consumers can’t get away from ads that promise big savings from companies such as Progressive, GEICO, Allstate and State Farm. All the companies make the same claim that you’ll save big if you change your policy.

How does each company make the same claim? It’s all in the numbers.

Insurance companies have a certain “appetite” for the type of customer that earns them a profit. For example, a profitable customer might be profiled as between 25 and 40, has no prior claims, and has great credit. A customer getting a price quote who fits that profile is entitled to the best price and is almost guaranteed to save when switching.

Potential insureds who fall outside the “perfect” profile must pay higher rates and this can result in the customer not buying. Company advertisements say “people who switch” not “everyone that quotes” save money. That’s why insurance companies can make the claims of big savings.

This illustrates why you absolutely need to get quotes from several different companies. It’s not possible to predict which company will fit your personal profile best.

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Alabama insurance information

More information is available on the Alabama Department of Insurance website located here. Alabama consumers can report car insurance fraud, get help finding coverage, read industry bulletins, and file complaints about a company.

Additional helpful sites include’s Understanding your Policy and see this list of insurance agents in Montgomery.

Final considerations

When trying to cut insurance costs, it’s very important that you do not buy lower coverage limits just to save a few bucks. Too many times, consumers will sacrifice liability limits or collision coverage only to discover later that it was a big error on their part. Your focus should be to buy a smart amount of coverage at an affordable rate while not skimping on critical coverages.

We’ve covered a lot of ways to shop for car insurance online. The key thing to remember is the more rate comparisons you have, the better your comparison will be. You may even find the best prices are with a small local company.

People switch companies for a variety of reasons including lack of trust in their agent, extreme rates for teen drivers, not issuing a premium refund or policy non-renewal. Whatever your reason, switching companies is actually quite simple.