It goes without saying that car insurance companies don’t want you to look at other companies. People who compare rates at least once a year are inclined to switch companies because there are good odds of finding discount prices. A recent survey discovered that drivers who did price comparisons regularly saved on average $3,400 over four years compared to other drivers who never shopped around for lower prices.
If finding the lowest price on insurance in Newark is your ultimate objective, then knowing how to choose a company and compare auto insurance can help make the process easier.
If you want to save money, the best way to get cheaper Lexus NX 300h insurance is to compare prices at least once a year from insurers in Newark.
First, get an understanding of auto insurance and the measures you can take to prevent expensive coverage. Many risk factors that result in higher rates such as your driving record and a substandard credit history can be eliminated by making small lifestyle or driving habit changes. Later in this article we will cover the details to help prevent high rates and find discounts that may have been missed.
Second, quote rates from exclusive agents, independent agents, and direct providers. Exclusive and direct companies can only quote rates from a single company like Progressive or Allstate, while independent agencies can give you price quotes from many different companies. View rates
Third, compare the new rates to your existing policy to see if you can save by switching companies. If you find a lower rate and buy the policy, make sure there is no lapse in coverage.
Fourth, provide proper notification to your current company to cancel your existing policy and submit payment and a completed application to your new company or agent. Once received, safely store the proof of insurance paperwork in an easily accessible location in your vehicle.
An important bit of advice to remember is to try to compare similar deductibles and liability limits on every price quote and and to get prices from as many car insurance companies as possible. This ensures an apples-to-apples comparison and a better comparison of the market.
Why You Might Pay Lower Rates in Newark
It’s important that you understand the different types of things that play a part in calculating the rates you pay for insurance. When you know what positively or negatively influences your rates, this helps enable you to make changes that can earn you lower premium levels. Multiple criteria are used in the calculation when premium rates are determined. Most are fairly basic such as traffic violations, although some other factors are less apparent such as your credit history or how safe your car is.
The list below includes a few of the things that factor into your premiums.
- Vehicles with better crash test results cost less to insure – Vehicles that have high safety ratings tend to be cheaper to insure. Vehicles engineered for safety have better occupant injury protection and any reduction in injury severity translates into savings for insurance companies which can mean better rates for you.
- Being married can save on insurance – Your spouse helps lower the price on insurance. Having a significant other generally demonstrates drivers are less irresponsible and it’s proven that drivers who are married are more cautious.
- Women pay lower costs – Over the last 30 years, statistics show women are more cautious behind the wheel. However, this does not mean men are worse drivers. Males and females are in fender benders at about the same rate, but males get into accidents with more damage. Men also have more aggressive citations like reckless driving and DUI.
- More performance means higher premiums – The make and model of the car you need to insure makes a substantial difference in your rates. The cheapest insurance rates will normally be found when insuring smaller low performance passenger vehicles, but other factors influence the final cost greatly.
- Do you have a high stress occupation? – Careers such as military personnel, social workers, and medical professionals generally pay higher rates than average because of stressful work requirements and incredibly demanding work hours. On the flip side, careers like professors, athletes and homemakers have the lowest average rates.
Insurance policy discounts you can’t miss
Companies do not list every policy discount in a way that’s easy to find, so the following is a list of both the well known and the more hidden insurance savings.
- No Accidents – Good drivers with no accidents are rewarded with significantly better rates on Newark car insurance quote in comparison to frequent claim filers.
- Theft Deterrent – Vehicles optioned with advanced anti-theft systems are less likely to be stolen and qualify for as much as a 10% discount.
- Discounts for Federal Employees – Having worked for a branch of the government could provide a small rate reduction with certain companies.
- Full Payment Discount – If you pay your bill all at once instead of monthly or quarterly installments you could save 5% or more.
- Anti-lock Brakes – Anti-lock brake equipped vehicles can avoid accidents so companies give up to a 10% discount.
- Passenger Safety Discount – Factory air bags or automatic seat belts could see savings of 20% or more.
- Discounts for New Vehicles – Buying a new car instead of a used NX 300h can get you a discount because newer models are generally safer.
- Defensive Driver Discounts – Taking time to complete a course teaching driver safety skills could cut 5% off your bill depending on where you live.
- Auto/Life Discount – Some insurance companies give a small discount if you purchase life insurance from them.
While discounts sound great, it’s important to understand that many deductions do not apply to the overall cost of the policy. A few only apply to the price of certain insurance coverages like collision or personal injury protection. Just because it seems like you can get free auto insurance, nobody gets a free ride.
A list of insurance companies and their possible discounts are:
- 21st Century includes discounts for driver training, early bird, homeowners, automatic seat belts, good student, and student driver.
- State Farm policyholders can earn discounts including passive restraint, good student, student away at school, good driver, and safe vehicle.
- AAA may include discounts for anti-theft, good driver, multi-car, multi-policy, education and occupation, good student, and AAA membership discount.
- Liberty Mutual has savings for multi-policy, hybrid vehicle, preferred payment discount, good student, and multi-car.
- Progressive may have discounts that include online quote discount, homeowner, continuous coverage, online signing, multi-vehicle, good student, and multi-policy.
When quoting, ask each company or agent which discounts they offer. Some discounts might not apply in every state. To see a list of insurance companies that provide some of the discounts listed above in New Jersey, follow this link.
Shop smart and save
More affordable auto insurance in Newark can be purchased from both online companies and also from your neighborhood Newark agents, so you need to shop Newark car insurance with both in order to have the best price selection to choose from. There are still a few companies who may not offer online quoting and usually these smaller companies work with independent agents.
When searching for cheaper Newark car insurance quotes, it’s very important that you do not reduce coverage to reduce premium. In many instances, someone sacrificed collision coverage only to discover later that they should have had better coverage. Your objective should be to purchase a proper amount of coverage at an affordable rate and still be able to protect your assets.
Additional detailed information is available in these articles:
- Airbag FAQ (iihs.org)
- Side Impact Crash Tests (iihs.org)
- Higher speed limits cause more fatalities (Insurance Institute for Highway Safety)