May 9, 2011

Three Signs Your Provider Is Taking You For A Ride

Auto insurance is an important facet of life for any automobile driver and you want to get the best auto insurance quote available. You want proper coverage that will protect in the event of an accident but you do not want to pay too much for it. There are three things you should look for in your automobile insurance plan to see if your insurance provider is taking unfair advantage of you. If you notice any of these, it is time for you to switch.

Driving Record Improves, Rates Stay the Same

Everybody knows that if you get tickets for moving violations or are at-fault in an accident, the amount you pay for auto insurance is likely to go up when you renew. But after time, these incidents will be removed from your driving record and if you are safe, nothing else will replace them. Once you have a clean driving record your auto insurance quote should decrease. No insurance company should charge you the same amount for when you had marks against your record and when your do not.

Infractions will typically stay on your record for three years. Even if your record is not spotless but has improved, you should be able to find a forgiving insurer who will offer you discounted rates. If you have improved to a perfect record, you should be able to find much more substantial discounts.

You Are an Average Driver Paying More than the National Average

The Insurance Information Institute estimates that the average driver pays about $70 a month on auto insurance. Granted there are many factors that affect this such as age, marital status, gender and type of car but if you are paying well over this, it is time to find a new provider.

There are exceptions of course. Drivers with DWIs on their record should expect to pay well over the average amount for up to seven years after their conviction. The same goes for those who just cannot avoid getting speeding tickets or other moving violations.

Your Automobile Insurance Plan Has Fees in Addition to Your Premium

Some insurance companies try to get you to pay as much as possible upfront. If you do not pay for the next six months at one time, they may try to tack on a $10 convenience charge or something similar each month. That eventually adds $120 every year. If you want to pay in monthly installments, then you should not buy your insurance from a carrier that will punish you for doing so. There are plenty of insurance providers out there that will offer similar monthly rates without the extra fee.