Auto Insurance Premiums: Are You Being Overcharged?

If you think your auto insurance premiums are too high, then you may be right. Check around and read your policy to see if you are being overcharged for your auto insurance,

Compare Rates

One of the best and easiest ways for you to be sure your insurance premiums are not too high is to compare rates between companies. Use an aggregating website to compare a number of rates at once. You’ll need basic information about your vehicle, including make, model, mileage and VIN, to get the quotes.

After you have these base quotes, check with other local agents for their rates. Then check with your credit union, alumni association or other groups of which you are a part and see if they have group discount agreements with any auto insurance companies. Once you have all the information, you can see if you can get a better rate.

Take Advantage of Discounts

If you are happy with your current insurer, check with them and be sure you are getting all of the possible discounts for your policy and situation. Ask the insurer about discounts for having auto and home or renters insurance with the same company. You may be able to reduce your premiums on both types of coverage if you have the policies with the same companies. Do you have discounts for seatbelts, airbags and other safety features? Ask about discounts for anti-theft devices and tracking devices.

You may not be aware that if your college student lives away from home and doesn’t have access to a car at school, you can have a discounted rate for that student. If you have a child that is on your insurance but is over 25, then the rate drops significantly. Ask your insurance agent to go through all the possible discounts with you and see that you are getting credit for each that applies to you and your vehicle.

Check for Accident and Ticket Points

One way to keep from being overcharged on insurance is to check regularly to be certain that your insurer has taken any accident or ticket points off of your record that should come off. You don’t want to alert the insurance company to an accident or ticket. They usually find these items on routine sweeps through police records and will add the points to your insurance rates. However, if you have very few violations (one in 10 years or so) then you may not get charged.

However, if you know that there are points on your insurance that is making your cost go up, check regularly to see that they are removed at the appropriate time so that your rate drops again.

Keep Information Current with Insurer

If you change jobs and have a shorter commute, let your insurer know. If you lose your job, then you’ll also have fewer miles to drive and your rates will drop. You should be certain that you update your insurer about any changes that might affect your cars so that you can avoid overcharges.

Avoiding auto insurance premiums that overcharge is the responsibility of you, the insured. Check your policy regularly and compare rates often so that you avoid paying more than you need to for car insurance.