5 Shopping Tips Proven to Slash the Cost of Auto Insurance Costs in Newport Vermont
Finding better rates for Newport auto insurance is always nearly impossible for beginners to buying insurance online. Drivers have so many options that it can be a real hassle to compare prices in Newport.
Cut your premium with these 5 discounts
Car insurance companies do not list every discount in an easy-to-find place, so we break down some of the more common and the harder-to-find discounts you could be receiving.
- 55 and Retired – If you qualify as a senior citizen, you may be able to get reduced rates.
- Lower Rates for Military – Being on active duty in the military may qualify for rate reductions.
- Anti-lock Brakes – Anti-lock brake equipped vehicles can avoid accidents and therefore earn up to a 10% discount.
- Good Student Discount – Getting good grades can get you a discount of up to 25%. The good student discount can last until age 25.
- Air Bag Discount – Vehicles with factory air bags or motorized seat belts may earn rate discounts of 20% or more.
As a disclaimer on discounts, many deductions do not apply the the whole policy. Most only reduce the cost of specific coverages such as liability, collision or medical payments. So even though they make it sound like all those discounts means the company will pay you, companies wouldn’t make money that way.
Buying car insurance locally
Certain consumers just want to buy from a local agent and there is nothing wrong with that. The best thing about price shopping on the web is that you can obtain lower rates but still work with a licensed agent.
After completing this short form, your insurance data is sent to local insurance agents in Newport who will give you bids to get your business. There is no need to visit any agencies due to the fact that quote results will go to the email address you provide. You can find the lowest rates and a licensed agent to work with.
Picking an insurer requires more thought than just a low price. Any agent should be forthright in answering these questions:
- If you are a high risk driver, do they have special markets for your coverage?
- Are you getting all the discounts the company offers?
- Do they regularly work with personal auto policies?
- How are they compensated?
- Will you be dealing directly with the agent or with a Custom Service Representative (CSR)?
- What insurance companies do they recommend if they are an independent agent?
Two types of insurance agents
If you’re trying to find a reliable agent, there are a couple of types of insurance agents that differ in how they can insure your vehicles. Newport agents are categorized either independent (non-captive) or captive.
Agency Captives
These agents are contracted to one company and examples are Farmers Insurance, American Family, State Farm and Allstate. They are unable to shop your coverage around so they have no alternatives for high prices. These agents are usually quite knowledgeable on their products and sales techniques which can be an advantage. Consumers frequently purchase coverage from captives partially due to loyalty to the company and the convenience of having all coverages with one company.
Independent Agents
Independent insurance agents do not work for one specific company but rather can write business with many different companies and potentially find a lower price. If you are not satisfied with one company, they simply move the coverage in-house without you having to go to a different agency. When comparison shopping, you should always include several independent insurance agents to ensure the widest selection of prices. Many write coverage with smaller regional carriers who may have lower rates.
The following is a short list of independent agencies in Newport willing to provide comparison quotes.
- Poulos Insurance Inc – 30 Coventry St – Newport, VT 05855 – (802) 334-3003
- Associated Insurance Inc – 374 Main St – Newport, VT 05855 – (802) 334-6584
- Alan Fogg Agency – 5452 Us Route 5 # F – Newport, VT 05855 – (802) 334-8100
For a full directory of licensed insurance agents in Newport, please click here.
Once you have reasonable responses to your questions and a low price estimate, it’s possible that you found a car insurance agent that will insure your vehicles. But remember, once you purchase a policy you can cancel coverage at any point so don’t assume that you’re stuck with any specific agency for the full term.
Specific coverages
Knowing the specifics of your auto insurance policy can help you determine the best coverages at the best deductibles and correct limits. Auto insurance terms can be confusing and nobody wants to actually read their policy.<img class="alignright" style="padding-top:15px;" src="https://www.findnewcarinsurance.com/wp-content/uploads/ci175-54.jpg" alt="Vermont car insurance quote”/>
Collision protection
Collision insurance pays to fix your vehicle from damage from colliding with a stationary object or other vehicle. You have to pay a deductible and the rest of the damage will be paid by collision coverage.
Collision coverage protects against things like sustaining damage from a pot hole, rolling your car and hitting a parking meter. Collision is rather expensive coverage, so analyze the benefit of dropping coverage from lower value vehicles. Drivers also have the option to raise the deductible in order to get cheaper collision rates.
Medical expense coverage
Medical payments and Personal Injury Protection insurance reimburse you for immediate expenses for things like funeral costs, pain medications, prosthetic devices and rehabilitation expenses. They can be used to fill the gap from your health insurance plan or if you do not have health coverage. Medical payments and PIP cover both the driver and occupants as well as any family member struck as a pedestrian. Personal injury protection coverage is not universally available and may carry a deductible
Uninsured or underinsured coverage
Your UM/UIM coverage protects you and your vehicle’s occupants from other drivers when they do not carry enough liability coverage. Covered claims include hospital bills for your injuries as well as damage to your vehicle.
Due to the fact that many Vermont drivers only carry the minimum required liability limits (25/50/10), their limits can quickly be used up. This is the reason having UM/UIM coverage is very important.
Coverage for liability
This provides protection from damages or injuries you inflict on other’s property or people 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 25/50/25 that translate to a limit of $25,000 per injured person, a limit of $50,000 in injury protection per accident, and a total limit of $25,000 for damage to vehicles and property.
Liability coverage protects against things such as pain and suffering, funeral expenses and loss of income. How much liability coverage do you need? That is a personal decision, but buy as large an amount as possible. Vermont state minimum liability requirements are 25,000/50,000/10,000 but drivers should carry better liability coverage.
Comprehensive protection
This coverage pays for damage from a wide range of events other than collision. A deductible will apply then your comprehensive coverage will pay.
Comprehensive insurance covers things such as hitting a bird, fire damage, theft, rock chips in glass and hail damage. The maximum payout you’ll receive from a claim is the market value of your vehicle, so if your deductible is as high as the vehicle’s value consider removing comprehensive coverage.
Even more information can be found at the Vermont Department of Financial Regulation website. Vermont consumers can view agent and company licensing information, report car insurance fraud, and read consumer alerts.
The following information may also be useful.
Keep this in mind
When trying to cut insurance costs, it’s not a good idea to buy less coverage just to save a little money. In many instances, someone sacrificed comprehensive coverage or liability limits only to find out that saving that couple of dollars actually costed them tens of thousands. Your focus should be to get the best coverage possible at a price you can afford.
Cost effective auto insurance is definitely available from both online companies as well as from independent agents in Newport, so compare prices from both so you have a total pricing picture. Some auto insurance companies don’t offer online price quotes and these smaller companies work with independent agents.
People who switch companies do it for a variety of reasons including delays in responding to claim requests, policy cancellation, policy non-renewal or even being labeled a high risk driver. It doesn’t matter what your reason, choosing a new company can be easier than you think.