Nobody that owns a car loves paying for car insurance, especially when they could lower their rates if they shopped around.
A recent car insurance study discovered that the vast majority of car insurance customers have bought car insurance from the same company for at least the last four years, and nearly the majority have never even compared rates from other companies. The average driver in Clayton could save themselves nearly $100 a year just by shopping around, but they think it's difficult to save money by comparing rate quotes. Multiple insurers compete for your hard-earned dollar, and because of this it can be hard to compare insurance companies to find the best price available on car insurance.
Consumers should take time to check car insurance prices before your policy renews since insurance prices are variable and change quite frequently. Even if you got the best price on car insurance a couple years back you may be paying too much now. You can search a lot of car insurance out there, but in this article, you're going to get a bunch of ideas how to find affordable car insurance in Clayton.
Companies offer many discounts on auto insurance
Some companies don't list all discounts very well, so the below list has both well-publicized as well as the least known ways to save on auto insurance.
- Multiple Vehicles - Buying a policy with more than one vehicle with the same company may reduce the rate for each vehicle.
- Seat Belts Save more than Lives - Drivers who require all occupants to buckle their seat belts can save a little off PIP or medical payments premium.
- Discount for Passive Restraints - Vehicles with factory air bags or automatic seat belts can qualify for discounts of 20 to 30 percent.
- Responsible Driver Discounts - Drivers who don't get into accidents may receive a discount up to 45% compared to accident prone drivers.
- ABS Braking Discount - Cars and trucks that have anti-lock braking systems can reduce accidents so you can save 10 percent or more.
A little note about advertised discounts, most of the big mark downs will not be given to all coverage premiums. Most cut individual premiums such as comp or med pay. Even though it may seem like you would end up receiving a 100% discount, insurance companies wouldn't stay in business.
To view insurance companies with the best discounts in North Carolina, click this link.
The quickest way to compare car insurance rates is to realize most insurance companies provide online access to give free rates quotes. To get started, all you need to do is provide a little information like if you lease or own, what you do for a living, whether you are single or married, and if it has an anti-theft system. Your information is instantly submitted to multiple top-rated companies and you get price estimates quickly.
To compare rates for your car now, click here then complete the form.
The companies shown below have been selected to offer quotes in Clayton, NC. If several companies are displayed, it's a good idea that you compare several of them in order to get a fair rate comparison.
|Make, Model, and Trim Level||Annual Policy Premium||6-month Policy Premium||Monthly Premium|
|Chevrolet Equinox LS AWD||$952||$476||$79|
|Chevrolet Malibu LTZ||$962||$481||$80|
|Chevrolet Silverado LT Extended Cab 4WD||$760||$380||$63|
|Dodge Grand Caravan Hero||$990||$495||$83|
|Dodge Ram Quad Cab Laramie 4WD||$968||$484||$81|
|Ford Escape Limited 4WD||$718||$359||$60|
|Ford F-150 XLT Regular Cab 2WD||$812||$406||$68|
|Ford Focus SE 2-Dr Coupe||$876||$438||$73|
|Honda Accord EX 2-Dr Coupe||$1,068||$534||$89|
|Honda CR-V LX 4WD||$716||$358||$60|
|Honda Civic EX-L 4-Dr Sedan||$730||$365||$61|
|Jeep Wrangler Rubicon 4WD 2-Dr||$622||$311||$52|
|Kia Optima LX||$698||$349||$58|
|Nissan Altima Hybrid 4-Dr Sedan||$822||$411||$69|
|Toyota Camry Hybrid||$898||$449||$75|
|Toyota Corolla LE||$884||$442||$74|
|Toyota RAV4 Sport 4WD||$684||$342||$57|
|Get Your Own Custom Quote Go|
Table data assumes married female driver age 50, no speeding tickets, no at-fault accidents, $500 deductibles, and North Carolina minimum liability limits. Discounts applied include claim-free, homeowner, safe-driver, multi-vehicle, and multi-policy. Rate information does not factor in specific zip code location which can decrease or increase prices noticeably.
Auto insurance prices based on gender
The information below illustrates the difference between auto insurance costs for male and female drivers in Clayton. The data assumes no accidents or driving violations, full physical damage coverage, $100 deductibles, drivers are single, and no discounts are applied on a GMC Acadia SLT.
GMC Acadia rates are for example purposes only. To get rate quotes for your specific vehicle, click here.
Raise deductibles and save
When comparing auto insurance rates, the most common question is how high should the deductibles for physical damage be. The rates shown below approximate the cost difference of buying low and high insurance deductibles. The first set of rates uses a $100 physical damage coverage deductible and the second price chart uses a $1,000 deductible.
Chevrolet Tahoe rates are for example purposes only. To get rates for your specific vehicle, click here.
|Model||Comp||Collision||Liability||Medical||UM/UIM||Annual Premium||Monthly Premium|
|Tahoe LS 2WD||$214||$386||$250||$14||$74||$963||$80|
|Tahoe LS 4WD||$242||$386||$250||$14||$74||$991||$83|
|Tahoe LT 2WD||$242||$386||$250||$14||$74||$991||$83|
|Tahoe LT 4WD||$242||$386||$250||$14||$74||$991||$83|
|Tahoe LTZ 2WD||$242||$456||$250||$14||$74||$1,061||$88|
|Tahoe LTZ 4WD||$242||$456||$250||$14||$74||$1,061||$88|
|Get a Quote for Your Vehicle Go|
|Model||Comp||Collision||Liability||Medical||UM/UIM||Annual Premium||Monthly Premium|
|Tahoe LS 2WD||$118||$204||$250||$14||$74||$660||$55|
|Tahoe LS 4WD||$134||$204||$250||$14||$74||$676||$56|
|Tahoe LT 2WD||$134||$204||$250||$14||$74||$676||$56|
|Tahoe LT 4WD||$134||$204||$250||$14||$74||$676||$56|
|Tahoe LTZ 2WD||$134||$240||$250||$14||$74||$712||$59|
|Tahoe LTZ 4WD||$134||$240||$250||$14||$74||$712||$59|
|Get a Quote for Your Vehicle Go|
Table data represents married male driver age 30, no speeding tickets, no at-fault accidents, and North Carolina minimum liability limits. Discounts applied include claim-free, multi-policy, safe-driver, multi-vehicle, and homeowner. Table data does not factor in specific Clayton garaging location which can decrease or increase coverage prices greatly.
Based on this data, we can arrive at the conclusion that using a $100 deductible will cost you roughly $27 more each month or $324 every year than requesting the higher $1,000 deductible. Since you would have to pay $900 more to file a claim with a $1,000 deductible as compared to a $100 deductible, if you usually have at a minimum 33 months between claim filings, you would save money if you choose the higher deductible. The numbers below show how we made this calculation.
|Average monthly premium for $100 deductibles:||$84|
|Average monthly premium for $1,000 deductibles (subtract):||- $57|
|Monthly savings from raising deductible:||$27|
|Difference between deductibles ($1,000 - $100):||$900|
|Divide difference by monthly savings:||$900 / $27|
|Number of months required between physical damage coverage claims in order to save money by choosing the higher deductible||33 months|
One important caveat is that a higher deductible level results in more money out-of-pocket when you file a claim. You should have some non-essential savings in the event you have to pay more for the deductible.
Liability-only rates compared to full coverage
The illustration below shows the difference between Hyundai Elantra auto insurance rates with and without physical damage coverage, medical payments, and uninsured/under-insured motorist coverage. The rate quotes are based on no claims or driving violations, $1,000 deductibles, married female driver, and no discounts are applied.
Hyundai Elantra rates are for example purposes only. To get rates for your specific vehicle, click here.
When to stop paying for full coverage
There isn't a written rule for phasing out full coverage, but there is a general guideline you can use. If the annual cost of comprehensive and collision coverage is more than about 10% of the settlement you would receive from your company, then it might be time to consider dropping full coverage.
For example, let's assume your Hyundai Elantra settlement value is $7,000 and you have $1,000 full coverage deductibles. If your vehicle is destroyed, the most you would get paid by your company is $6,000 after paying your policy deductible. If premiums are more than $600 a year for physical damage coverage, then it may be the right time to buy liability only.
There are some circumstances where dropping physical damage coverage is not a good plan. If you still owe money on your vehicle, you have to carry full coverage as part of the loan conditions. Also, if your emergency fund is not enough to purchase a different vehicle in case of an accident, you should not consider dropping full coverage.
Smart consumers know how to buy car insurance for less
An important part of buying insurance is that you know some of the factors that play a part in calculating your car insurance rates. If you understand what determines base rates, this enables informed choices that could result in cheaper rates.
Car insurance policy lapses increase rates - Allowing your car insurance policy to lapse is a guaranteed way to bump up your car insurance costs. And not only will insurance be more expensive, being ticketed for driving with no insurance might get you a license revocation or jail time.
Safeguard your assets with liability coverage - Your car insurance policy's liability coverage provides coverage if ever a jury decides you are liable for causing personal injury or damage in an accident. Your liability coverage provides you with a defense in court up to the limits shown on your policy. This coverage is relatively inexpensive as compared to coverage for physical damage, so drivers should carry high limits.
Use credit responsibly and save - A driver's credit history is a big factor in calculating your car insurance rates. If your credit score could use some work, you could save money insuring your vehicle by improving your credit score. People that have good credit tend to be more responsible than drivers with bad credit.
Raise comp and collision deductibles and save - Coverage for physical damage, termed comprehensive and collision coverage on your policy, protects your car from damage. A few examples of covered claims would be a dented fender, hail damage, or theft. Comprehensive and collision coverage deductibles represent how much money you are required to spend if a claim is determined to be covered. The higher the amount you have to pay, the lower your rates will be.
Rural vs Urban Areas - Choosing to live in small towns and rural areas is a good thing when it comes to car insurance. Less people means reduced accidents in addition to lower liability claims Drivers in populated North Carolina areas have congested traffic and longer commute times. More time on the road means a statistically higher chance of an accident.
High stress occupation may mean higher rates - Jobs such as real estate brokers, air traffic controllers, and accountants generally pay higher premiums than the average policyholder in part from stressful work requirements and long work hours. Conversely, jobs like scientists, athletes and retirees pay lower than average rates.
Protect your vehicle and other assets
Even though it can be expensive, buying auto insurance is required by state law in North Carolina and it also provides benefits you may not be aware of.
- Almost all states have mandatory liability insurance requirements which means state laws require specific limits of liability in order to drive the car legally. In North Carolina these limits are 30/60/25 which means you must have $30,000 of bodily injury coverage per person, $60,000 of bodily injury coverage per accident, and $25,000 of property damage coverage.
- If your vehicle has a loan, almost all lenders will make it mandatory that you have full coverage to ensure the loan is repaid in case of a total loss. If you let the policy lapse, the lender will be forced to insure your vehicle at an extremely high rate and force you to pay the higher premium.
- Auto insurance protects not only your vehicle but also your assets. It will also provide coverage for medical expenses for yourself as well as anyone injured by you. One of the most valuable coverages, liability insurance, will also pay to defend you if you are sued as the result of your driving. If your vehicle suffers damage from an accident or hail, your policy will pay to restore your vehicle to like-new condition.
The benefits of insuring your vehicle more than cancel out the cost, especially with large liability claims. Despite what companies tell you, the average driver is overpaying more than $865 each year so you should quote and compare rates once a year at a minimum to save money.
One last note
In this article, we covered some good ideas how you can compare car insurance auto insurance rates in Clayton. It's most important to understand that the more quotes you get, the better likelihood of getting affordable Clayton car insurance quotes. You may even discover the lowest auto insurance rates come from a small mutual company. They may have significantly lower premium rates on certain market segments than their larger competitors like State Farm or Progressive.
While you're price shopping online, it's a bad idea to reduce coverage to reduce premium. There are a lot of situations where an insured dropped liability limits or collision coverage only to regret at claim time that a couple dollars of savings turned into a financial nightmare. The proper strategy is to buy a smart amount of coverage at the best possible price while not skimping on critical coverages.
To learn more, take a look at the articles below:
- Auto Insurance Basics (Insurance Information Institute)
- Warning systems don't curb driver distraction (Insurance Institute for Highway Safety)
- Get the Right Protection (InsureUonline.org)
- What Determines the Price of My Auto Insurance Policy? (Insurance Information Institute)