Is Your Kodiak Car Insurance Costing Too Much?

Paying for high-priced car insurance can empty your checking account, especially in this economy. Doing a price comparison is a great way to slash your bill and have more diposable income.

Multiple insurers compete for your insurance dollar, and it can be difficult to compare rates to get the lowest price

Why you might pay higher rates in Kodiak

An important part of buying insurance is that you know the factors that go into determining car insurance rates. Knowing what impacts premium levels allows you to make educated decisions that will entitle you to much lower annual insurance costs.

• Rural vs Urban Areas – Residing in less populated areas can be a good thing when it comes to car insurance. City drivers have to deal with much more traffic and longer commute times. Lower population means fewer accidents.
• High credit ratings translate to low rates – Your credit score is a important factor in your rate calculation. Drivers with good credit tend to file fewer claims and have better driving records as compared to drivers with lower credit ratings. If your credit is low, you could pay less to insure your by repairing your credit.
• Theft deterrents lower rates – Driving a car that has an advanced theft prevention system can get you a discount on your car insurance. Theft prevention features like GM’s OnStar, tamper alarm systems and vehicle immobilizers all hinder car theft.
• Extra add-on coverages are wasting money – There are many add-on coverages that can waste your money on your car insurance policy. Coverages for personal injury protection, accident forgiveness and term life insurance may be wasting your money. They may seem good at first, but if they’re wasting money eliminate them to save money.
• How many coverages with the same company – Most insurers provide better rates to people who carry more than one policy in the form of a multi-policy discount. Even with this discount, it’s still a good idea to compare other company rates to verify if the discount is saving money. You may still be able to find better rates by splitting coverages up.
• More miles equals more premium – Driving more miles in a year’s time the more you’ll pay to insure your vehicle. Most insurance companies price each vehicle’s coverage based upon how you use the vehicle. Cars used primarily for pleasure use get more affordable rates as compared to vehicles used primarily for driving to work. Double check that your car insurance coverage is rated on the proper vehicle usage.
• Older drivers save more – Mature drivers are more cautious drivers, tend to cause fewer accidents and receive fewer citations. Youthful drivers are statistically proven to be careless and easily distracted in a vehicle therefore car insurance rates are much higher.
• Marriage pays dividends – Having a spouse actually saves money on your policy. Having a significant other usually means you are more responsible and it’s statistically proven that married drivers get in fewer accidents.

Kodiak Car Insurance Prices Online

There are several ways of comparing price quotes from different in Kodiak, AKinsurance companies. The recommended way to find the lowest rates is to perform an online rate comparison. This is very easy and can be done in a couple of different ways.

The best way consumers can analyze rates is to use a rate comparison form like this one (opens in new window). This method prevents you from having to do separate quote forms to each individual car insurance company. Completing one form will get you rate comparisons from many national carriers.

A slightly less efficient method to shop for car insurance online requires visiting each company’s website to request a price quote. For examples sake, let’s assume you want to compare rates from GEICO, 21st Century and GMAC. You would have to visit each site to input your insurance information, which is why most consumers use the first method. For a list of links to companies insuring cars in Kodiak, click here.

The hardest way of getting rate comparisons is to spend your day driving to and from local Kodiak insurance agencies. Shopping for car insurance online can eliminate the need for a local agent unless you have a need for the trained guidance that only a license agent can provide. It is possible to price shop online and get advice from an agent in your area and we’ll talk about that later.

Whichever method you choose, ensure you are comparing the exact same coverage limits and deductibles on every quote. If you are comparing higher or lower deductibles it will be very difficult to find the best deal in Kodiak. Slightly different coverages can mean a large discrepancy in price. And when quoting car insurance, remember that having more price comparisons will increase your chances of finding lower pricing.

Do drivers who switch really save $431 a year?

GEICO, State Farm and Progressive consistently run ads in print and on television. All the companies have a common claim that you can save if you change your coverage to them. But how can every company claim to save you money?

Insurance companies can use profiling for the driver they prefer to insure. For example, a profitable customer could possibly be a mature driver, has no tickets, and has excellent credit. A driver that hits that “sweet spot” will get the preferred rates and is almost guaranteed to save when switching.

Potential customers who don’t measure up to these standards will be quoted a higher premium and this can result in business not being written. The ads say “customers that switch” not “people who quote” save money. This is how companies can truthfully advertise the savings.

This emphasizes why you should get as many comparisons as possible. It’s just too difficult to predict which company will give you the biggest savings.

Cut your car insurance rates with discounts

Car insurance is not cheap, but companies offer discounts to cut the cost considerably. Most are applied at the time you complete a quote, but a few need to be manually applied before being credited.

• Clubs and Organizations – Affiliation with a qualifying organization may earn a discount when shopping for car insurance.
• Homeowners Discount – Simply owning a home can save you money due to the fact that maintaining a home requires personal responsibility.
• Safe Driver Discount – Safe drivers may receive a discount up to 45% less than less cautious drivers.
• Multi-car Discount – Having more than one vehicle on the same car insurance policy may reduce the rate for each vehicle.
• Discount for New Cars – Putting insurance coverage on a new car is cheaper because new vehicles have to meet stringent safety requirements.
• 55 and Retired – If you qualify as a senior citizen, you can possibly qualify for a small decrease in premiums.
• Passive Restraints – Factory air bags or automatic seat belts can get savings of up to 25% or more.
• Driver’s Ed – Make teen driver coverage more affordable by requiring them to complete a driver education course if offered at their school.

Keep in mind that most discount credits are not given to the entire policy premium. Most cut the price of certain insurance coverages like collision or personal injury protection. Just because it seems like you would end up receiving a 100% discount, it just doesn’t work that way. But any discount will cut the cost of coverage.

For a list of providers with discount car insurance rates in Kodiak, click here to view.

Comparing rates from local agents

A small number of people would prefer to talk to a local agent. One of the best bonuses of price shopping on the web is you may find the best rates but still work with a licensed agent. And providing support for local businesses is definitely important in Kodiak.

After completing this form (opens in new window), your insurance data is submitted to local insurance agents who will battle for your business. You never need to leave your house since price quotes are sent straight to your inbox. Now that’s easy! You can find the lowest rates and work with a local agent.

If you wish to view licensed agents in Kodiak, simply jump to this page.

Deciding on a company requires more thought than just a low price. Any agent should be forthright in answering these questions:

• Do they have any clout with companies to ensure a fair claim settlement?
• How are claims handled?
• Is their price quote a firm figure or are their hidden costs?
• Does the company allow you to choose your own collision repair facility?
• Will you be dealing directly with the agent or with a Custom Service Representative (CSR)?
• How much can you save by raising your physical damage deductibles?

Once you have acceptable answers as well as a affordable price, you’ve probably found a company that can adequately provide car insurance.

Additional car insurance information can be read on the website for the Alaska Division of Insurance. Click here for link. Visitors are able to read state legal mandates and laws, view a list of available companies, view agent and company licensing information, and file complaints about an insurance agent or broker.

Quote more, save more

When buying insurance coverage, it’s not a good idea to reduce needed coverages to save money. In many instances, drivers have reduced liability limits or collision coverage to discover at claim time that it was a big error on their part. Your goal should be to buy enough coverage for the lowest price while still protecting your assets.

We covered many ideas to lower your car insurance rates. The most important thing to understand is the more times you quote, the higher the chance of saving money. You may even discover the lowest premiums are with an unexpected company. These smaller insurers often have lower prices on specific markets as compared to the big name companies such as State Farm and Allstate.