Tricks for Lowering Your Annapolis Maryland Auto Insurance Rates

Are you overwhelmed by the wide range of auto insurance options in Annapolis? You have a lot of company. There are so many choices that it can turn into a big hassle to locate the lowest price.

It’s smart to do rate comparisons before your policy renews due to the fact that insurance rates tend to go up over time. Even if you got the lowest price a few years ago a different company probably has better rates today. You can find a lot of wrong information about auto insurance online, so we’re going to give you some tested techniques to buy auto insurance cheaper.

Many Things Influence your Rates

It’s important that you understand the factors that play a part in calculating auto insurance rates. Understanding what influences your rates helps enable you to make changes that can help you get lower auto insurance prices.

Shown below are some of the items that factor into your rates.

  • Being married can save on auto insurance – Having a spouse can actually save you money when buying auto insurance. It means you’re more responsible and it’s proven that drivers who are married are more cautious.
  • Do you have enough liability coverage? – The liability section of your policy will protect you in the event that you are found to be at fault for damages from an accident. It will provide legal defense coverage up to the limits shown on your policy. Liability is cheap compared to insuring for physical damage coverage, so do not cut corners here.
  • Traffic violations increase rates – A bad driving record impacts your car insurance rates tremendously. Drivers with clean records receive lower rates than people who have multiple driving citations. Even a single speeding ticket may increase your cost forty percent or more. If you have severe violations such as hit and run, DWI or reckless driving convictions may find they need to file a proof of financial responsibility form (SR-22) with their state motor vehicle department in order to drive a vehicle legally.
  • More claims means more premium – Insurance companies in Maryland generally give lower rates to policyholders who do not file claims often. If you are a frequent claim filer, you can pretty much guarantee either policy cancellation or increased premiums. Your insurance policy is designed for major claims that would cause financial hardship.

Cut your premium with discounts

Auto insurance companies don’t always advertise all their discounts in an easy-to-find place, so we break down both the well known and the harder-to-find discounts you could be receiving. If they aren’t giving you every credit possible, you are paying more than you should be.

  • Seat Belts Save more than Lives – Using a seat belt and requiring all passengers to use a seat belt can save 10% or more off your medical payments premium.
  • Homeowners Savings – Owning a home in Annapolis can help you save on auto insurance due to the fact that maintaining a home is proof that your finances are in order.
  • One Accident Forgiven – Some insurance companies permit an accident before hitting you with a surcharge as long as you don’t have any claims prior to the accident.
  • Pay Upfront and Save – By paying your policy upfront instead of paying each month you may reduce your total bill.
  • Senior Citizens – Mature drivers may receive a small decrease in premiums.

As a disclaimer on discounts, many deductions do not apply to your bottom line cost. The majority will only reduce individual premiums such as medical payments or collision. So despite the fact that it appears you would end up receiving a 100% discount, companies wouldn’t make money that way.

To see a list of providers offering auto insurance discounts in Annapolis, click here to view.price insurance in Maryland

Save 15 percent in 15 minutes? Is it for real?

Maryland consumers get pounded daily by advertisements for cheaper car insurance from companies such as Progressive, Allstate and GEICO. They all say the same thing that you’ll save big if you move your policy.

How do they all make almost identical claims?

Different companies have a preferred profile for the right customer they prefer to insure. For example, a profitable customer might be between 30 and 50, has no tickets, and drives less than 10,000 miles a year. A propective insured who matches those parameters receives the best rates and as a result will probably pay quite a bit less when switching companies.

Consumers who fall outside the “perfect” profile will be charged more money and this can result in business not being written. The ads state “customers that switch” not “everyone that quotes” save that kind of money. That is how insurance companies can make the claims of big savings. That is why it is so important to quote coverage with many companies. It’s impossible to know the company that will give you the biggest savings.

What is the best insurance coverage?

When it comes to buying adequate coverage for your vehicles, there isn’t really a cookie cutter policy. Everyone’s needs are different.

These are some specific questions might help in determining whether or not you may require specific advice.

  • Is a new car covered when I drive it off the dealer lot?
  • Is my dog or cat covered if injured in an accident?
  • Is my vehicle covered for flood damage?
  • Do no-fault laws apply in Maryland?
  • What discounts do I qualify for?
  • When should my teen driver be added to my policy?
  • At what point should I drop full coverage?
  • Do I need PIP (personal injury protection) coverage in Maryland?
  • Do I get a pro-rated refund if I cancel my policy early?
  • Do I have any recourse if my insurance company denies a claim?

If it’s difficult to answer those questions but a few of them apply, you may need to chat with a licensed insurance agent. If you want to speak to an agent in your area, take a second and complete this form. It is quick, free and can provide invaluable advice.

Additional detailed information is located at the Maryland Insurance Administration website. Visitors are able to read industry bulletins, file complaints about a company, view agent and company licensing information, and learn about specific coverages.

The best insurance company isn’t always the cheapest

When shopping online for auto insurance, do not reduce coverage to reduce premium. Too many times, someone sacrificed comprehensive coverage or liability limits only to regret that it was a big mistake. The aim is to buy the best coverage you can find at a price you can afford while still protecting your assets.

Low-cost auto insurance can be sourced on the web and with local Annapolis insurance agents, and you need to price shop both in order to have the best chance of saving money. Some companies do not offer online price quotes and these smaller companies work with independent agents.

We just covered quite a bit of information on how to compare auto insurance prices online. The key concept to understand is the more times you quote, the better your chances of lowering your rates. You may even find the most savings is with some of the lesser-known companies.