Affordable Auto Insurance Companies - Making the Most of Auto Insurance Rate Quotes

If you are checking out affordable auto insurance companies because it seems as though your car insurance premium goes up every year, you're not alone. This can be frustrating for drivers who maintain a clean driving record, and who know that the cost of their aging vehicle decreases over time. The truth is, an individual policy holder's situation is only one factor insurance companies use when determining the cost of coverage. For example, the average cost of health care, changes in government regulations, and fluctuations in investment markets can all impact auto insurance premiums. In addition, your age, location, and the prevalence of auto theft and insurance fraud can all increase insurance rates, even if the policy holder is doing everything they can to practice safe and responsible driving. 

Furthermore, each insurance company calculates risk using their own individual statistical analysis, so rates may vary widely even when all the contributing factors seem the same. These risk calculations can evolve over time, so a company that has been in business longer may be bringing more past experience to their risk modeling than a newer company. And an insurance company, like any other, also exists to make a profit, and profit goals can influence premiums. 

All these variables are why it's advisable to periodically revisit your auto insurance policy and get competing quotes from other companies, even if it doesn't seem that your driving situation has changed that much. It's possible that you could get an equivalent policy at a much more affordable price from a different company, for reasons that don't have anything to do with your driving record or insurability.  

For people who have decided to seek out affordable auto insurance companies, there are many options. Our website is a great place to start your search for the right insurance policy as you can compare rates for multiple companies at the same time. Do note that the competitor rates provided may not paint the whole picture. It's possible that the coverage you're being quoted isn't 100% equivalent. When comparing rates from different affordable auto insurance companies, make sure you're comparing apples to apples. Read the fine print, and check for any discrepancies. 

Firstly, verify who is insured under the policy. Most standard car insurance policies cover you, members of your household, and other people you authorize to borrow the vehicle. However, some discount insurance policies will exclude high-risk drivers even if they are authorized, or not cover drivers outside your immediate household. While this may be a good way for some people to trim their auto insurance rates, verify that the policy covers everyone you intend it to. 

Another thing to check is the mileage allowance of the policy. Some affordable auto insurance companies limit the annual mileage allowed for some vehicles, so verify that those limits are compatible with your driving habit and anticipated needs. And some policies exclude damages if the vehicle is used for any business purposes, such as delivering newspapers or pizzas. If you plan to use your car for any business-related driving, read the fine print and make sure you're covered. 

Also, note that the policy may authorize your insurance company to run more driving record checks. Some discount policies check your driving records every six months, instead of the once a year or even two years that many preferred drivers enjoy. 

Finally, try to anticipate your needs over the coverage period and account for any changes you can predict. For example, are you a few months away from having a teenage driver in the household, or paying off a big debt? Are you anticipating moving or retiring soon? Those things will affect your auto insurance rates, as may affect your coverage needs as well. As long as you're comparing rates, get quotes that include these hypothetical changes and take the future into account before you make your selection. 

So before you jump at the lowest rate quote, read the policy terms carefully and make an informed decision. Many affordable auto insurance companies can offer you a policy that is perfect for your needs at a much lower rate, but you'll want to know exactly what is (and isn't) covered before you file a claim, to avoid any unpleasant surprises.

What Happens When You Make a Car Insurance Claim?

One of the many advantages of doing business with SafeAuto is that all of our car insurance claims are handled by our in-house adjusters. They make sure you have the answers you need when you need them. In short, it’s just a more efficient way of doing business.
We make sure that all of our car insurance claims are handled quickly by enlisting the help of independent appraisers. No matter where you are in the United States or Canada, we can have a professional appraiser available to see your vehicle fast. Once the damage has been appraised, the body shop of your choice can start the repairs immediately.
While of course speed and efficiency are important when processing your car insurance claim, we’re equally dedicated to containing costs and giving you the best possible value for your money. This is why SafeAuto Insurance aggressively investigates each car insurance claim to determine whether or not it’s fraudulent. By doing so, we’re able to keep our car insurance premiums as low as possible. And to anyone who lives on a strict budget, this means a lot.

If you ever wondered what happens when you make a car insurance claim, hopefully we were able to give you a better understanding with this blog post. We try hard to make the car insurance claim process as seamless as possible and have an entire team of dedicated associates working hard to make sure this happens.
If you need to file a car insurance claim, give us a call at 1-800-SafeAuto and one of our experienced representatives will help you through every step of the process. For more information on our rates, or for a free car insurance quote, visit us at our website at www.safeauto.com.
For an exact definition of a car insurance claim, visit the link below:
http://www.investopedia.com/terms/i/insurance_claim.asp

new Auto insurance trend

Usage-based insurance—which bases discounts on your personal driving habits, instead of on how people like you drive—is already widely adopted in Europe and is on its way to becoming the new norm in the United States.
So is it for you?
To answer that, let’s first talk about the kind of driving that matters when you have usage-based insurance.
At Progressive, the driving habits that count toward your discount are the ones that lower your accident risk, like:
• Minimizing your daily mileage
• Avoiding slamming on the brakes
• Staying off the roads between midnight and 4 a.m.
This kind of driving might come naturally to you. In fact, more than 70 million U.S. drivers already practice all three habits, according to a survey conducted by Harris Interactive.
The other thing to consider with usage-based insurance is how much exactly you might save and whether it’s worth switching your insurance. Generally (and here at Progressive), you can save up to 30 percent.
If you’re still on the fence about usage-based insurance, or switching your insurance, take our usage-based insurance program, Snapshot®, for a 30-day test drive and preview your potential savings.
Hear from Eric, of Baltimore, who tried usage-based insurance and saved 18 percent:

Gender gap opens over car cover costs

Figures published this week show a new gender divide has opened up over car insurance prices.
Young women have been hit with huge rises in the cost of motor cover this year.
At the same time, premiums for men aged between 17 and 20 have fallen dramatically.
The latest Confused.com/Towers Watson Car Insurance Price Index shows that women in this age group are now paying 9 per cent more than this time last year.
Men, on the other hand, have benefitted from price falls of almost 30 per cent.

Effects of law change

These contrasting fortunes have been blamed on a new law which has made it illegal for insurers to charge men and women different rates based solely on their gender.
Since last December, when the European Gender Directive legislation came into effect, insurers have been effectively equalising the premiums they charge to male and female motorists.
Until then, men – especially those under the age of 25 – had faced much higher insurance costs than women, as insurers’ own figures tended to show they had a much greater risk of being involved in accidents and making claims.

Ignoring the risks

But providers can no longer use this statistical evidence when setting premiums.
Instead, men’s and women’s insurance prices are being brought into line with each other, with the result that men benefit from falling costs while women face significantly higher premiums than before.
Across all age groups, the research found, premiums have fallen sharply over the past two years.
From a high of £858 in the middle of 2011, today’s typical annual premium is £652, a fall of almost a quarter.

Good news ‘not felt by all’

Gemma Stanbury, head of car insurance at Confused.com, said: "It’s great news for most motorists as their average premium is now £206 cheaper than it was two years ago.
"However, this good news isn’t felt by all as the most recent results from the Confused.com Car Insurance Index reveal that women have experienced the greatest increases to their car insurance premiums.
"As a result, women aged between 17 and 20 are now facing average prices of £1,862 for their car insurance.

Prices levelling out

"At the opposite end of the spectrum, their male counterparts are enjoying huge price decreases of 29.2 per cent as the industry attempts to level out car insurance prices."
The price falls for men mean their annual premiums have fallen from an average of £3,314 in 2012 to £2,345.
Young women have fared worse in some parts of the UK than others, the figures show.

Gender differences disappearing

Under-21s in Northern Ireland will now pay an average of £2,156 a year, up almost 15 per cent on a year ago, for example.
Across all age groups, the gender gap in motor premiums has almost vanished.
The average annual male premium is now £665, compared with £635 for women.
This £30 difference is dramatically less than the £112 gap recorded this time last year, when the typical male and female premiums were £807 and £695 respectively.

Car insurance costs fall by 24%

The cost of car insurance has fallen by almost a quarter from record highs two years ago, new research has found.
Millions of drivers are benefitting from the cheaper premiums that have resulted from a number of factors.

Benefits of pay-as-you-drive

These include greater take-up of pay-as-you-drive telematics insurance policies, as well as reduced costs associated with personal-injury claims and new rules on prices for men and women’s policies.
The Confused.com/Towers Watson Car Insurance Price Index shows that the average comprehensive premium between June and September this year was £652.
This is 24 per cent lower than the peak of £858 recorded in June 2011.

Contrast with inflation rate

Motor premiums have dropped 14 per cent in the past 12 months alone, the figures showed.
By way of contrast, over the past two years prices in the UK economy as measured by the Consumer Prices Index have risen by about 6 per cent.
Currently, the CPI is running at 2.7 per cent a year, according to the most recent official statistics.

Winners and losers

Some groups of motorists have fared considerably better than others, however, when it comes to price changes.
Those aged between 40 and 60 have seen typical premiums fall by more than 15 per cent in the last year, for example.
And young men in Scotland now face costs lower than at the start of 2007.
But the picture for many women who have only recently passed their driving test is not so rosy.

Young women face price hikes

Those aged between 17 and 20 have in fact seen their premiums rise by just over 9 per cent since this time last year, while their male counterparts face costs almost 30 per cent lower.
This is largely due to the effect of new rules over setting insurance prices according to gender.
Since last December, it has been against the law for providers to charge men and women different rates because of their gender.

Men ‘more risky’

In the past, men – especially those under the age of 25 – have faced much higher premiums because statistics suggested they have been more likely to be involved in accidents and make claims.
But following intervention by the European Union, insurers are no longer allowed to reflect this with higher premiums.
As a result, the gap between male and female premiums has been narrowing over recent months, which means cheaper rates for men but higher prices for women.

Black box benefits

Young people have been increasingly opting for a type of car insurance called telematics.
This involves a black-box measuring device being installed in the vehicle, with premiums set according to how sensibly the policyholder drives.
This is thought to have played a part in falling premiums, as is a recent crackdown by the Ministry of Justice on the fees that are paid by insurers when dealing with personal-injury claims.
Gemma Stanbury, head of car insurance at Confused.com, said: "In the last three months we’ve seen a significant reduction in car insurance prices across the board, seeing premiums drop by an average of 13.9 per cent year-on-year.

‘Welcome news’

"Falling car insurance premiums are welcome news for motorists who may well be feeling the pinch as a result of rising rates of inflation."
Stanbury added that drivers needed to be proactive to ensure they were feeling the full benefit of these premium falls.
This means checking which insurer offers the best rate.
She said: "We would recommend that motorists take advantage of these latest price drops, not just accept their renewal price."