Top 6 Ways to Pay Less on Car Insurance in Southfield

Consumers not familiar with price shopping insurance online may find purchasing cheap Southfield car insurance nearly impossible.

It is always a good idea to shop coverage around at least once a year because rates are usually higher with each renewal. If you had the best price a couple years back you can probably find a lower rate today. There is a lot of wrong information about car insurance on the internet, so I’m going to show you a bunch of ideas how to reduce your car insurance bill.

More discounts equal less premium

Auto insurance companies do not advertise every available discount very clearly, so we researched some of the best known and also the lesser-known car insurance savings.

  • Distant Student – Children who live away from home without a vehicle on campus may qualify for this discount.
  • Federal Employees – Active or retired federal employment can earn a discount up to 10% with certain companies.
  • Multiple Policy Discount – If you have multiple policies with the same insurance company you will save 10% to 20% off each policy.
  • Paperless Signup – A handful of insurance companies give back up to $50 for buying a policy and signing up digitally online.
  • Driver’s Ed – Require your teen driver to enroll in driver’s education if it’s offered in school.
  • Drive Less and Save – Keeping the miles down could qualify for discounted rates on garaged vehicles.

Drivers should understand that some credits don’t apply to your bottom line cost. Most cut the price of certain insurance coverages like liability, collision or medical payments. Just because you may think having all the discounts means you get insurance for free, it just doesn’t work that way.

To choose insurance companies who offer car insurance discounts in Michigan, click here.

Do I need special coverages?

When it comes to buying proper insurance coverage, there really is not a cookie cutter policy. Every situation is different.

Here are some questions about coverages that may help highlight whether your personal situation could use an agent’s help.

  • Does my vehicle qualify for pleasure use?
  • Is there coverage for injuries to my pets?
  • Do I need roadside assistance coverage?
  • Is rental equipment covered for theft or damage?
  • Do I get a pro-rated refund if I cancel my policy early?
  • Am I covered when driving a rental car?
  • Do I pay less if my vehicle is kept in my garage?

If you’re not sure about those questions but you think they might apply to your situation then you might want to talk to a licensed insurance agent. If you don’t have a local agent, take a second and complete this form.

Neighborhood agents for car insurance

Certain consumers would prefer to get advice from a local agent and that is OK! One of the best bonuses of price shopping on the web is the fact that you can find better rates and still have an agent to talk to.

To make it easy to find an agent, after completing this short form, the coverage information is sent to insurance agents in Southfield who will return price quotes for your business. You don’t have to drive around since price quotes are sent to the email address you provide. You can find better rates and work with a local agent.

Picking an insurer shouldn’t rely on just the price. Ask your prospective agent these questions:

  • Do they carry Errors and Omissions coverage?
  • What are the financial ratings for the companies they represent?
  • How long have they worked with personal auto insurance coverage?
  • Are there any hidden costs in their price quote and does it include driving and credit history?
  • How are they compensated?
  • Do they feel the quoted coverages are adequate?
  • Are you getting all the discounts the company offers?
  • Which members of your family are coverage by the policy?

Insurance agents in Southfield come in two varieties

When looking for a reputable insurance agent or broker, there are two different agency structures that differ in how they can insure your vehicles. Southfield agents are classified as either independent or captive.

Agency Captives

Captive agents are contracted to one company and some examples include American Family, State Farm and Allstate. These agents are unable to place coverage with different providers so they are skilled at selling on more than just price. These agents are very knowledgeable on their company’s products which can be an advantage. Consumers often buy from captive agents partially due to high brand loyalty and solid financial strength.

The following are captive agencies in Southfield willing to provide comparison quotes.Auto insurance in Southfield MI

  • Allstate Insurance – 2000 Town Ctr # 1800 – Southfield, MI 48075 – (248) 945-3300
  • Farmers Insurance Group – 28475 Greenfield Rd # 112 – Southfield, MI 48076 – (248) 559-9833
  • State Farm Insurance – 29610 Southfield Rd # 103 – Southfield, MI 48076 – (248) 559-0000
Independent Agencies or Brokers

Independent agencies do not work for one specific company so they have the ability to put coverage with lots of companies enabling the ability to shop coverage around. To move your coverage to a new company, the business is moved internally without you having to go to a different agency. When shopping rates, you should always get quotes from at least one independent agent to get the best comparison.Many can place coverage with smaller companies which can be an advantage.

Shown below is a short list of independent insurance agencies in Southfield who can help you get comparison quotes.

  • Harold J Samuels Agency Inc – 15900 W 10 Mile Rd – Southfield, MI 48075 – (248) 557-3266
  • J S Clark Agency – 25900 W 11 Mile Rd # 210 – Southfield, MI 48034 – (248) 355-9600
  • Ralph C Wilson Agency – 26026 Telegraph Rd – Southfield, MI 48034 – (248) 355-1414
  • North Pointe Insurance Co – 28819 Franklin Rd – Southfield, MI 48034 – (248) 358-3392
  • Insurance Guaranty Intl – 28819 Franklin Rd – Southfield, MI 48034 – (248) 358-1171

For a complete listing of Southfield insurance agents, please view this page.

Upon getting positive feedback to your questions and a good coverage price, you’ve probably found an auto insurance agent that is a good match to properly service your car insurance policy. Just keep in mind once you purchase a policy you can terminate coverage whenever you wish so don’t assume you’re contractually obligated to your new company for the entire policy term.

Advertising myths

Progressive, GEICO, Allstate and State Farm regularly use ads in print and on television. All the companies say the same thing of big savings if you move to their company. How can each company say the same thing? It’s all in the numbers.

Different companies have a certain “appetite” for the driver that earns them a profit. An example of a preferred risk could be over the age of 50, a clean driving record, and drives less than 10,000 miles a year. Any driver that hits that “sweet spot” will get the preferred rates and is almost guaranteed to save when switching.

Potential insureds who do not match this ideal profile will be quoted more money and ends up with the driver buying from a lower-cost company. The ads say “people who switch” not “everybody who quotes” save that much. That’s why companies can truthfully claim big savings. This emphasizes why you absolutely need to get quotes from several different companies. It is impossible to predict which insurance companies will fit your personal profile best.

Additional detailed information can be read at the Michigan Office of Financial and Insurance Regulation website. Consumers can view agent and company licensing information, find out which companies have the most complaints, and file complaints about an insurance agent or broker.

Also read more on this online resource for free quotes in Michigan and this page where you can research Southfield insurance agents.

Car insurance coverages 101

Having a good grasp of your policy helps when choosing the best coverages for your vehicles. Policy terminology can be difficult to understand and reading a policy is terribly boring.

Comprehensive protection

This coverage pays to fix your vehicle from damage from a wide range of events other than collision. You need to pay your deductible first and then insurance will cover the rest of the damage.

Comprehensive coverage pays for claims such as damage from a tornado or hurricane, hail damage and damage from flooding. The maximum amount a car insurance company will pay at claim time is the ACV or actual cash value, so if the vehicle is not worth much consider dropping full coverage.

Liability auto insurance

This provides protection from damage that occurs to a person or their property in an accident. It consists of three limits, bodily injury for each person injured, bodily injury for the entire accident and a property damage limit. You might see liability limits of 50/100/50 that means you have $50,000 in coverage for each person’s injuries, a limit of $100,000 in injury protection per accident, and a total limit of $50,000 for damage to vehicles and property.

Liability can pay for things like pain and suffering, funeral expenses, medical services and emergency aid. How much liability should you purchase? That is a personal decision, but buy as high a limit as you can afford. Michigan requires minimum liability limits of 20,000/40,000/10,000 but you should consider buying more liability than the minimum.

Medical expense coverage

Medical payments and Personal Injury Protection insurance pay for expenses like funeral costs, pain medications, rehabilitation expenses and doctor visits. They are often utilized in addition to your health insurance program or if you do not have health coverage. They cover all vehicle occupants as well as any family member struck as a pedestrian. Personal Injury Protection is not an option in every state and gives slightly broader coverage than med pay

Southfield car insurance quote

Collision coverage

This pays for damage to your vehicle resulting from colliding with another car or object. You first must pay a deductible and then insurance will cover the remainder.

Collision insurance covers things like sustaining damage from a pot hole, sideswiping another vehicle, colliding with another moving vehicle and damaging your car on a curb. Collision is rather expensive coverage, so consider dropping it from vehicles that are older. You can also choose a higher deductible to bring the cost down.

Uninsured or underinsured coverage

This coverage protects you and your vehicle when other motorists either are underinsured or have no liability coverage at all. Covered losses include injuries sustained by your vehicle’s occupants as well as your vehicle’s damage.

Since a lot of drivers have only the minimum liability required by law (Michigan limits are 20/40/10), it doesn’t take a major accident to exceed their coverage limits. For this reason, having high UM/UIM coverages is a good idea.

One last thing about your coverage

Budget-conscious car insurance is definitely available from both online companies as well as from independent agents in Southfield, so compare prices from both to have the best selection. Some insurance companies don’t offer the ability to get a quote online and many times these smaller companies only sell through independent insurance agents.

Insureds change insurance companies for a number of reasons such as policy non-renewal, extreme rates for teen drivers, lack of trust in their agent or an unsatisfactory settlement offer. It doesn’t matter why you want to switch finding a new car insurance company is pretty easy and you might even save some money in the process.

In this article, we covered some good ideas how you can compare car insurance prices online. The key concept to understand is the more times you quote, the better chance you’ll have of finding lower rates. You may even find the lowest premiums are with a company that doesn’t do a lot of advertising.