Buying Auto Insurance in Austin TX for the first time can feel a bit confusing at first. Often, the person gets some advice from parents or older friends about which insurance company is best and which agency to call for quotes. Contacting an independent agent is recommended because the individual then can receive quotes from more than one insurer for the same type of coverage.
Two Aspects Affecting Rates
The person shopping for insurance will need to consider aspects such as the amount of liability coverage to buy and the deductible to decide on. A minimum amount of liability coverage is required by law, but the individual may want more than this if he or she has assets to protect that could be at risk in a lawsuit. A higher deductible means a lower premium, but it also means the person has to pay more out of pocket in case of a collision.
Apparent Discrepancies
If this person compares quotes on Auto Insurance in Austin TX with those of parents or other older acquaintances, it may seem unfair that those rates tend to be lower. It’s important to understand that insurance company underwriters consider risk factors of population groups when they decide on quotes. They know that teenagers and young adults cause the highest percentage of collisions by age group. Young single men have the worst record in general. Unfortunately, that affects all young single men since they are part of this demographic.
Reducing Rates
The most effective way to be offered lower rates as the years go by is to keep one’s driving record clear of traffic citations and accidents. Rates tend to drop dramatically for the individual driver with a clean record. Another factor that has a positive effect includes keeping the vehicle in a garage when it’s not in use, or at least in a driveway and off the street.
Shopping for auto insurance every year or two through an agency such as Perdue Insurance Group also is advisable, even when the person is satisfied with the policy. A better rate for similar coverage may be available through a reputable insurer. Having this knowledge allows the customer to make an informed decision.
