Archive for the ‘Auto Insurance Rates’ Category


Is The Cost of Auto Insurance Advertising Driving Up Your Premium?

Thursday, July 5th, 2012

What is it costing your auto insurance provider to advertise each year? SNL Financial set to find out. Geico Corp is the King of auto insurance advertising, data shows, with annual spending of close to $1 billion! This number is up 10 percent from spending in 2010, which shows that insurers are becoming increasingly more competitive for your dollars.

What Are Other Auto Insurers Spending?

State Farm Mutual Automobile Insurance Co. — the largest home and auto insurer in the U.S. — took second place in the advertising war. Geico spent 22 percent more than State Farm last year, but State Farm increased their ad spending by 29 percent — three times’ the rate of Geico’s ad spending increase. Allstate Corp was the third biggest spender at $745.3 million in 2011.

Do Auto Insurance Companies Have To Spend So Much?

Allstate Corp has felt the pain of cutting back during the recession. An internal presentation indicated they had been losing ground with consumer awareness due to reduced TV ad spending in the previous year. They also lost 30 percent of their typical call center volume due to reduced direct-mail solicitations. So, it’s no surprise they ramped up their efforts last year to keep pace with the big dogs.

Does Increased Auto Insurance Advertising Affect Premiums?

Insurance companies are in the business to make money, so you can be sure they are charging you more than enough to cover any accidents and fund their companies’ growth. Research indicates that there has not been a major churn in the industry, despite increased spending. Progressive and Geico are growing, but most insurers aren’t able to grab major market share. On the bright side, 25 percent of auto insurance customers shopped for a new policy last year — and 43 percent of them did end up switching providers. This is the highest switch rate since 2008.

auto insurance

Why not shop around for a deal on your auto insurance here & now?

Getting Low Auto Insurance Rate For A New Car

Thursday, June 21st, 2012

Most people understand that buying a new car will be a big investment, since they will be saddled with a new car payment bill each month. But did you know that your auto insurance bill will likely go up considerably as well? You would think that a new car would be cheaper to insure, since it comes with more safety features — but it is also more expensive to replace should it get hit or stolen. Here are a few tips for finding reasonable auto insurance rates on your new ride.

Safety Features

No matter which vehicle you decide upon, look for car features like…

  • Side & Head Air Bags
  • Passive Restraint Seat Belts
  • A Security System
  • Anti-Theft Etching
  • Anti-Lock Brakes
  • Traction Control

Safety Ratings

Also, be sure to check out the Insurance Institute for Highway Safety’s annual crash test scores. Their list of Top Safety Picks For 2012 includes vehicles like: the Fiat 500, Toyota Yaris, Chevy Cruze, Honda Civic, Toyota Prius, Scion, Audi A3, Chevy Malibu, Ford Fusion, Volvo S60, Buick LaCrosse, Mitsubishi Outlander, Chevy Equinox, Dodge Durango, Chrysler Town & Country, and Ford F-150. Better scores mean better auto insurance rates.

Cheap Repairs

You will also want to look for a car that is inexpensive to repair. The cars you see the most of on the street tend to be the ones that are have the highest number of parts available — Cobalts, Corollas, Cruzes, Focuses, F-150s, Malibus, Tauruses, Impalas, Camrys, Ultimas, etc. Check out Automobile.com’s list of Cheapest Cars To Repair

While you’re considering which new vehicle to buy, why not peruse a couple quotes to compare how much you would pay for your top 2-3 choices? You can do it right here — FREE!

auto insurance

5 Reasons To Shop Around For Auto Insurance

Thursday, June 14th, 2012

Everyone is looking to save money these days. Taking just a few moments can save you hundreds — if not thousands — on your auto insurance policy. Here are five situations where shopping around for the best rates online is wise.

You Just Got Married.

In all your excitement about the Big Day and your Honeymoon, you may have forgotten that marriage opens up an opportunity to potentially save money on your auto insurance policy. Most companies offer multiple car discounts. If you get your homeowner’s insurance or life insurance through the same company, you will be eligible for a multiple line discount as well.

You Just Moved.

If you are moving to the suburbs or a more favorable part of town, you can save money on your auto insurance rate. National studies in big cities find that the discrepancies can vary by the hundreds of dollars!

You Just Retired.

Statistically speaking, retirees drive far less than their commuting peers. You may be eligible for special discounts if you are 55 and older or recently retired. Furthermore, your decades of driving experience and years of clean records can stack up in your favor too.

You Got A New Job.

Engineers, scientists, mathematicians, educators and military members statistically get in fewer accidents and are rewarded with lower rates at some auto insurance companies.

You Got A New Car.

New cars can sometimes increase your rate if you were driving your old junker around with collision insurance. However, increased safety features and the willingness to pay a higher deductible can offset those increases and actually end up saving you money.

5 Reasons To Shop Around For Auto Insurance 1

Retire recently? You could be saving on your auto insurance rate!


Tips To Avoid Auto Insurance Rate Increases

Tuesday, June 12th, 2012

Are you paying too much for auto insurance? Your rate can go up suddenly and without warning. Sometimes simple errors can cause you to overpay for basic coverage. Here are a few tips to avoid these unscrupulous auto insurance rate hikes and protect yourself, as a consumer.

Did You Get A Ticket?

Tickets are one of the main causes for auto insurance rate hikes because insurers take this as a sign that you’re driving erratically and dangerously, thus making you more of a liability. You won’t get penalized for a parking ticket, but moving violations for running lights, speeding and reckless driving will take your insurance rates way up for a good three years.

Did You Buy A New Car?

When you’re car shopping, you may be focused on finding the best color or the car with the most cargo space. However, you should also consider how the auto insurance company will look at your purchase. Cars with expensive foreign parts will be more expensive to insure because their repair costs will be higher, should you get into an accident. Also, cars that are frequently stolen will cost more. Conversely, safety ratings and features can bring the cost of insurance down.

When Was The Last Time You Shopped For Auto Insurance?

You should take a few minutes each year to shop around for better auto insurance rates. People who take the time to review their policies always end up paying less. With websites like Promiga.com, it’s easier than ever to get a quick, free online auto insurance quote!

auto insurance rates

Take a moment & shop for free auto insurance quotes on our site!

Five Auto Insurance Provider Secrets

Monday, June 11th, 2012

It’s not immediately clear how one’s auto insurance bill comes together. Just as Google rates websites, your auto insurance rate is a complex concoction of algorithms used to calculate your value. Most of the time, carriers are just hoping to break even on your premium payments. Ideally, you’d put as much money in as you’d ever need to cover the cost of an accident. So insurers are trying to keep prices competitively low, without putting them in debt. Here are five things you may not know about auto insurance pricing.

1. Women Pay Less.

If you’re a woman, you will (on average) pay about 12 percent less. This means that men will pay an extra $15,000 on auto insurance over the course of a lifetime.

2. College Grads Pay Less.

You will pay the most if you have a high school diploma or less. Rates improve with each successive degree.

3. Your Credit Score Matters More Than You Thought.

One of the biggest factors of your financial responsibility is your credit score. If you have a low score, expect to pay a higher premium.

4. Location Affects Your Rate.

On one hand, Louisiana has the nation’s highest premiums. A move to North Carolina would say drivers $1,500 a year in auto insurance. Similarly, moving from Washington D.C. across the river to Virginia will save $50 a month.

5. The Old and Young Pay The Most.

Statistically speaking, you’re more likely to crash if you’re old or young. Premiums peak from 18-25 and again from 55-75.

Actually, the best thing you can do to keep your auto insurance rate low is spend some time shopping around periodically to see how much you can save! Try our free online auto quote system today! There is no cost and no obligation.

auto insurance rates

 

Can Your Smartphone Lower Your Auto Insurance Premium?

Friday, June 1st, 2012

We recently reported that auto insurance companies would be relying on driver data to determine how much to charge you for your premium. Yet, in the past, it could be a real hassle — requiring the installation of a special box in your car. Now State Farm and Ford are teaming up to turn your smartphone into an auto insurance premium lowering device. Through the “Sync” platform, State Farm will be able to determine: how often you drive, how fast you drive,  and how often you slam on your brakes. Sync supports 3G and 4G smartphones and bluetooth technology already, so it’s not much of a stretch.

Drive Less & Save

State Farm will periodically pull data from Sync’s smartphone link. Just for joining the program, customers will receive a 5 percent discount on their premiums. Individuals driving the national average of 1,000 miles per month will qualify for an additional 10 percent discount. Customers who rarely drive could see up to a 40 percent discount on their auto insurance rates! The program is launching in Utah, but will expand to other states.

Drive Safe & Save

For now, State Farm will be just tracking mileage. Ultimately, they plan to track much more, such as acceleration / stopping patterns, where people travel, speed and how often drivers go through stop signs. Businessweek speculates that one day drivers will have a taxi-style meter on their dashboards that tracks how much they’ve ratcheted up their insurance premium based on their driving habits. Would motorists think twice before speeding or slamming on their brakes? The results are yet to be seen, but the use of smartphones can revolutionize what Americans pay in auto insurance.

How To Save Money On Auto Insurance Now…

While waiting for the program to roll out, drivers can get lower auto insurance rates by looking up online auto insurance quotes. It only takes a few moments to see exactly how much one can save by switching providers! Drivers who are interested in making the transition, can elect to have a representative contact them by phone.

auto insurance

High Risk Driver Auto Insurance

Monday, May 14th, 2012

No one ever wants to be labeled a high risk driver, but there comes a time when your luck just runs out and you can no longer deny that the stack of tickets you’ve received lately qualifies you as a risk pool driver. Even if you’re confident driving at high speeds or you feel that you were not at fault for the last accident, auto insurance companies see that there is a pesky black “bad luck” storm cloud following you around — and insuring you is costing them more. So, you may ask, “Are exorbitant rates just part of my future? Or is there something I can do to pay less, even though I’m a high risk driver ?”

Drive Smart.

If you’re going to be drinking, take a cab or public transit. Do not text while driving or try to “gun it” through a yellow light. Always signal when changing lanes and be sure you pause a full two seconds at stop signs, while looking both ways. Use cruise control, whenever possible, to avoid the temptation to speed — especially on the highway. Always give yourself a 3-second following distance behind vehicles. Once you have no tickets or accidents for 3 years, you can expect your auto insurance rates to come down to a reasonable level.

Manage Your Money.

Did you know that some auto insurance companies look at your credit score when determining what type of rate to give you? Do your best to improve your money management and bring in added income, if necessary. Mark your insurance payment due dates on your calendar in advance, so you know when you’ll need the money to pay your bill on-time.

Shop For Quotes.

The auto insurance market is extremely competitive. Since companies all have their own secret algorithms for determining risk, you can find tremendous deals by calling around. Better yet, why not take a couple of quick minutes and get a free, no-obligation quote online?

 

high risk driver

Are you a high risk driver? Shop our auto quotes today and start saving.

Perks of Marriage: Cheap Auto Insurance

Friday, May 11th, 2012

There are many financial perks of marriage — lower taxes, access to employer benefits, better health insurance rates, and lower auto insurance premiums too. Most companies offer some type of discount for married drivers, although some companies may also offer cheap insurance for people who live together. States like California, Washington, Oregon and Illinois recognize “domestic partnerships” with discounts of up to 15 percent for drivers, according to Fox News.

How Do Married Couples Save On Insurance?

  • Multi-Car Discount – Typically, you’ll save significant money by switching to the same policy and signing up multiple cars with a carrier.
  • Multi-Line Discount – You can also save by getting homeowner’s insurance through your car insurance provider.
  • Driving Record – If your spouse has a better driving record than you, this can work in your favor.
  • Statistics – Statistically speaking, married couples are less depressed and less reckless. They tend to get into fewer accidents and take advice from a spouse on safe driving habits.

 How Much Can You Save By Getting Married?

Forum commenters claim to have saved as low as $61 per billing cycle or as much as $350 every six months. According to research conducted by Coverhound, a sample couple would have paid $309.01 per month for their separate policies, but they would pay $218.89 a month if they were married — which is a 29 percent savings. If your spouse has a particularly terrible driving record, you may not benefit much, but it’s worth looking up free auto insurance quotes.

married couple car insurance