5 Tricks to Save on Auto Insurance in Salisbury

Did you fall for a flashy sales pitch and buy an overpriced auto insurance policy? Believe me, many Salisbury consumers feel financially strained by their auto insurance policy. Because there are so many insurance providers from which to choose, it can be challenging to locate the most cost effective company.

It’s smart to take a look at other company’s rates at least once a year due to the fact that insurance rates are usually higher with each renewal. Just because you found the lowest rates a year ago you may be paying too much now. Starting right now, forget anything you know (or think you know) about auto insurance because you’re going to learn the best way to properly buy coverages and cut your premium.

Discounts are available to cut your rates

Insuring your vehicles can cost a lot, but you may find discounts to reduce the price significantly. Certain discounts will be triggered automatically when you quote, but some may not be applied and must be inquired about before being credited. If they aren’t giving you every credit available, you’re paying more than you need to.

  • Auto/Life Discount – Companies who offer life insurance give a discount if you purchase a life insurance policy as well.
  • College Student – Children who live away from home and do not have access to a covered vehicle can receive lower rates.
  • Early Switch Discount – Select companies give a discount for buying a policy before your current expiration date. It’s a savings of about 10%.
  • No Accidents – Drivers with accident-free driving histories pay less as compared to drivers who are more careless.
  • Pay Upfront and Save – By paying your policy upfront instead of paying each month you may reduce your total bill.

It’s important to understand that most discounts do not apply to the entire cost. Some only apply to specific coverage prices like liability, collision or medical payments. So even though they make it sound like adding up those discounts means a free policy, auto insurance companies aren’t that generous. Any amount of discount will help reduce the amount you have to pay.

To choose providers offering auto insurance discounts in North Carolina, follow this link.

Advertising myths

North Carolina consumers can’t get away from ads for car insurance savings by GEICO, State Farm and Progressive. All the ads have a common claim that you can save if you change to their company.

How do they all make almost identical claims?

All companies are able to cherry pick for the type of customer that makes them money. An example of a preferred risk might be over the age of 40, insures multiple vehicles, and chooses high deductibles. A customer that hits that “sweet spot” will get the preferred rates and is almost guaranteed to cut their rates substantially.

Drivers who don’t qualify for this ideal profile must pay higher rates which leads to the customer not buying. The ads say “people who switch” not “people who quote” save money. That’s the way companies can state the savings.

This illustrates why you absolutely need to compare many company’s rates. It’s just too difficult to predict which company will fit your personal profile best.

Everyone needs different coverages

When it comes to choosing adequate coverage for your vehicles, there really is no cookie cutter policy. Every insured’s situation is different so your insurance needs to address that. These are some specific questions can help discover if you will benefit from professional help.

  • Does my policy cover my teen driver if they drive my company car?
  • How do I file an SR-22 for a DUI in North Carolina?
  • Is my vehicle covered for flood damage?
  • Should I buy additional glass protection?
  • Do I need added coverage for expensive stereo equipment?
  • What is high-risk coverage and where do I buy it?
  • Do I pay less if my vehicle is kept in my garage?
  • Does having multiple vehicles earn me a discount?
  • Is my business laptop covered if it gets stolen from my vehicle?
  • Am I covered when driving someone else’s vehicle?

If you can’t answer these questions but a few of them apply, then you may want to think about talking to an agent. If you don’t have a local agent, fill out this quick form or click here for a list of auto insurance companies in your area. It only takes a few minutes and can provide invaluable advice.

Auto insurance coverage information

Knowing the specifics of a auto insurance policy helps when choosing the best coverages at the best deductibles and correct limits. The coverage terms in a policy can be confusing and even agents have difficulty translating policy wording. These are typical coverages found on most auto insurance policies.

Auto liability insurance – Liability coverage protects you from injuries or damage you cause to a person or their property. Liability coverage has three limits: bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. Your policy might show policy limits of 50/100/50 that means you have $50,000 in coverage for each person’s injuries, $100,000 for the entire accident, and a limit of $50,000 paid for damaged property. Alternatively, you may have one limit called combined single limit (CSL) which combines the three limits into one amount without having the split limit caps.

Liability coverage protects against claims such as loss of income, attorney fees, repair bills for other people’s vehicles, legal defense fees and bail bonds. The amount of liability coverage you purchase is a personal decision, but you should buy as high a limit as you can afford. North Carolina requires minimum liability limits of 30,000/60,000/25,000 but you should consider buying more liability than the minimum.

Collision coverage – Collision insurance pays to fix your vehicle from damage from colliding with a stationary object or other vehicle. You will need to pay your deductible then your collision coverage will kick in.

Collision can pay for things such as crashing into a building, backing into a parked car, sustaining damage from a pot hole, damaging your car on a curb and colliding with a tree. This coverage can be expensive, so consider removing coverage from vehicles that are older. It’s also possible to bump up the deductible to save money on collision insurance.

Comprehensive protection – This coverage pays for damage caused by mother nature, theft, vandalism and other events. You first have to pay a deductible then your comprehensive coverage will pay.

Comprehensive coverage protects against things such as theft, a broken windshield, vandalism and falling objects. The most you can receive from a comprehensive claim is the market value of your vehicle, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.

Uninsured or underinsured coverage – Uninsured or Underinsured Motorist coverage protects you and your vehicle when other motorists either are underinsured or have no liability coverage at all. Covered claims include hospital bills for your injuries as well as your vehicle’s damage.

Since a lot of drivers have only the minimum liability required by law (which is 30/60/25), their limits can quickly be used up. This is the reason having UM/UIM coverage is a good idea. Usually your uninsured/underinsured motorist coverages are identical to your policy’s liability coverage.

Salisbury NC insurance cheap

Medical expense coverage – Medical payments and Personal Injury Protection insurance provide coverage for expenses for things like EMT expenses, X-ray expenses, dental work, chiropractic care and prosthetic devices. The coverages can be utilized in addition to your health insurance policy or if there is no health insurance coverage. Medical payments and PIP cover all vehicle occupants and will also cover any family member struck as a pedestrian. PIP is not an option in every state but can be used in place of medical payments coverage

Much more information about auto insurance in North Carolina can be read on the website for the North Carolina Department of Insurance located here. North Carolina drivers can get help finding coverage, file complaints about an insurance agent or broker, and learn about insurance regulations.

These articles may also be worth reading.

Quote more, save more

As you restructure your insurance plan, never reduce needed coverages to save money. In too many instances, an accident victim reduced liability limits or collision coverage and discovered at claim time that a couple dollars of savings turned into a financial nightmare. Your goal should be to purchase plenty of coverage at the best price.

Budget-conscious auto insurance can be purchased on the web and with local Salisbury insurance agents, and you should be comparing both to get a complete price analysis. A few companies do not offer the ability to get a quote online and these regional insurance providers work with independent agents.