Pricey car insurance in Carlsbad can overdraw your savings account, especially in this economy. Comparison shopping can save money and help to make sure you're not throwing money away.
A recent NerdWallet.com study revealed that a large majority of car insurance policyholders have been with the same company for well over three years, and approximately 40% of consumers have never quoted rates to find affordable coverage. Consumers in Carlsbad could save themselves roughly $474 a year just by getting comparison quotes, but they mistakenly think it's difficult to shop around.
Companies like State Farm, Progressive and GEICO constantly blast consumers with advertising and it can be hard to see through the cute green geckos and mayhem and do the work needed to find the best deal.
If you currently have insurance, you will surely be able to reduce premiums using the techniques covered below. Choosing the most cost-effective insurance policy in Carlsbad is quite easy. But New Mexico vehicle owners can benefit from knowing how insurance companies compete online because rates fluctuate considerably.
Best companies for New Mexico auto insurance
The providers in the list below provide price comparisons in New Mexico. If multiple providers are shown, it's highly recommended you get prices from several of them to get the cheapest price.
|Make, Model, and Trim Level||Annual Policy Premium||6-month Policy Premium||Monthly Premium|
|Chevrolet Colorado LT Extended Cab 4WD||$944||$472||$79|
|Chevrolet Malibu LS||$966||$483||$81|
|Chevrolet Silverado LT Crew Cab 4WD||$1,212||$606||$101|
|Dodge Ram Crew Cab TRX 2WD||$818||$409||$68|
|Ford Escape XLT 4WD||$1,092||$546||$91|
|Ford Explorer Limited AWD||$1,000||$500||$83|
|Ford F-150 Lariat King Ranch 4WD||$942||$471||$79|
|Ford Focus SE 4-Dr Sedan||$994||$497||$83|
|Honda Accord LX 4-Dr Sedan||$720||$360||$60|
|Honda CR-V EX-L 4WD||$852||$426||$71|
|Honda Civic DX 4-Dr Sedan||$1,240||$620||$103|
|Kia Optima SX||$1,146||$573||$96|
|Nissan Altima 2.5 4-Dr Sedan||$1,140||$570||$95|
|Toyota Camry SE||$1,192||$596||$99|
|Toyota Corolla S||$1,342||$671||$112|
|Toyota Tacoma X-Runner 2WD||$1,474||$737||$123|
|Get Your Own Custom Quote Go|
Above prices assume single male driver age 50, no speeding tickets, no at-fault accidents, $250 deductibles, and New Mexico minimum liability limits. Discounts applied include homeowner, safe-driver, claim-free, multi-vehicle, and multi-policy. Information does not factor in vehicle garaging location which can influence coverage prices considerably.
Difference between full coverage and liability only rates
The example below shows the difference between Chevrolet Malibu premium costs with and without full coverage. The rates are based on no violations or accidents, $250 deductibles, single male driver, and no policy discounts are applied.
Chevrolet Malibu rates are for example purposes only. To get rates for your specific vehicle, click here.
When to stop buying full coverage
There is no clear-cut rule that works best for making the decision to drop comp and collision coverage, but there is a general guideline you can use. If the annual cost of your full coverage insurance is more than about 10% of the settlement you would receive from your company, then it might be time to buy liability only.
For example, let's say your Chevrolet Malibu replacement value is $7,000 and you have $1,000 deductibles. If your vehicle is totaled, you would only receive $6,000 after the deductible is paid. If you are currently paying more than $600 annually to have full coverage, then it could be time to drop full coverage.
There are a few situations where only buying liability is not a good plan. If you still have a loan on your vehicle, you are required to maintain full coverage to satisfy the loan requirements. Also, if you can't afford to buy a different vehicle in the event your current vehicle is totaled, you should not remove full coverage.
Higher deductibles save money
The information below illustrates how your choice of deductibles and can raise or lower Chevrolet Malibu insurance rates for different age groups. The rate quotes are based on a married female driver, comp and collision included, and no discounts are applied to the premium.
Chevrolet Malibu rates are for example purposes only. To get rates for your specific vehicle, click here.
Car insurance rates by gender and age
The example below compares insurance rates for male and female drivers in Carlsbad. The data assumes a clean driving record, no at-fault accidents, full coverage, $500 deductibles, drivers are single, and no policy discounts are applied on a Nissan Sentra 2.0 SR.
Nissan Sentra rates are for example purposes only. To get rate quotes for your specific vehicle, click here.
Discounts can help save money on insurance
Not too many consumers would say insurance is affordable, but you might find some hidden discounts to help bring down the price. Many of these discounts will be applied automatically at the time of purchase, but some must be manually applied prior to getting the savings.
- Discounts for New Vehicles - Buying a new car model is cheaper since new model year vehicles are generally safer.
- Senior Citizen Rates - Drivers that qualify as senior citizens are able to get lower premium rates.
- Government Employee Discount - Simply working for the federal government could provide a small rate reduction with some insurance companies.
- Anti-theft Discount - Anti-theft and alarm system equipped vehicles have a lower chance of being stolen and can earn a small discount on your policy.
- Low Miles Discount - Low annual miles could qualify for slightly better insurance rates than normal.
- Pay Upfront and Save - If you can afford to pay the entire bill instead of monthly or quarterly installments you could save up to 5%.
- Discounts for Seat Belt Usage - Buckling up and requiring all passengers to use a seat belt can save a little off PIP or medical payments premium.
- Driver's Education for Students - Have your child successfully take a driver's education course if offered at their school.
- Passive Restraint Discount - Vehicles equipped with air bags may earn rate discounts as much as 30%.
A little disclaimer on discounts, most credits do not apply to the overall cost of the policy. Most only apply to individual premiums such as medical payments or collision. So when the math indicates adding up those discounts means a free policy, it doesn't quite work that way.
The best insurance companies and a summarized list of policyholder discounts include:
- Farm Bureau has savings for multi-policy, 55 and retired, safe driver, renewal discount, good student, and driver training.
- MetLife offers premium reductions for claim-free, accident-free, multi-policy, good driver, defensive driver, and good student.
- Progressive may include discounts for continuous coverage, online quote discount, homeowner, good student, and multi-policy.
- AAA offers discounts for anti-theft, good driver, multi-car, good student, pay-in-full, AAA membership discount, and multi-policy.
- American Family offers discounts including mySafetyValet, good student, defensive driver, air bags, Steer into Savings, and good driver.
- GEICO may offer discounts for military active duty, five-year accident-free, emergency military deployment, federal employee, membership and employees, seat belt use, and anti-theft.
- State Farm may have discounts that include multiple policy, anti-theft, accident-free, Steer Clear safe driver discount, safe vehicle, and student away at school.
If you want the cheapest Carlsbad auto insurance quotes, ask each insurance company to give you their best rates. Depending on the company, some discounts might not be offered on policies in your state.
Make wise decisions and cut your costs
Part of the insurance buying process is learning some of the factors that help calculate the price you pay for insurance. When you know what positively or negatively controls the rates you pay, this helps enable you to make changes that may reward you with lower rates.
The factors shown below are some of the factors insurance companies consider when setting your premiums.
- Insurance premiums and driver gender - Statistics show women are more cautious behind the wheel. It does not mean males are worse at driving than females. Both genders are in auto accidents at a similar rate, but men cause more damage and cost insurance companies more money. Men also tend to get more serious tickets like DWI (DUI) or reckless driving.
- Alarms and GPS tracking lower prices - Buying a car with a theft deterrent system can help bring down rates. Advanced theft deterrents such as OnStar, LoJack tracking, and tamper alarms all help stop vehicle theft.
- Only buy add-on coverages you need - Policies have extra add-on coverages that may not really be needed if you aren't diligent. Insurance for things like rental car coverage, accidental death, and motor club memberships may be costing you every month. They may seem like a good idea when buying your policy, but your money might be better spent on other coverage so remove them and pocket the money.
- Combine policies and save money - Lots of insurance companies will give better rates to customers that buy multiple policies. It's known as a multi-policy discount. This can amount to ten percent or more. Even if you qualify for this discount already, it's still a good idea to comparison shop to help ensure you have the lowest rates.
- Better insurance rates on vehicles with better crash test results - Cars with high safety ratings cost less to insure. Highly rated vehicles help reduce the chance of injuries in an accident and reduced instances of injuries means your insurance company pays less and thus lower rates.
- Certain employers pay higher rates - Jobs such as real estate brokers, air traffic controllers, and miners generally pay the highest average rates due to job stress and lots of time spent away from family. On the other hand, careers such as professors, engineers and the unemployed receive lower rates.
Don't assume everyone needs the same car insurance coverage
When choosing proper insurance coverage for your personal vehicles, there isn't really a single plan that fits everyone. Your needs are not the same as everyone else's so your insurance should reflect that Here are some questions about coverages that can aid in determining if you might need an agent's assistance.
- Does my personal policy cover me when driving out-of-state?
- Do I have any recourse if my insurance company denies a claim?
- Does my medical payments coverage pay my health insurance deductible?
- What states are considered no-fault?
- Do I need motorclub coverage?
- Why is insurance for a teen driver so high in Carlsbad?
- Am I covered when driving someone else's vehicle?
- Can I afford to buy a different vehicle if my vehicle is totaled?
- What happens if I owe more than my vehicle is worth?
If you can't answer these questions but you think they might apply to your situation, then you may want to think about talking to a licensed insurance agent. If you want to speak to an agent in your area, complete this form or you can go here for a list of companies in your area.
Auto insurance quotes from local Carlsbad insurance agents
A small number of people would prefer to buy from a licensed agent and doing that can be a smart decision One of the benefits of comparing rates online is you can get cheaper prices but still work with a licensed agent. And providing support for local insurance agents is important especially in Carlsbad.
By using this quick form, your insurance data is transmitted to local insurance agents that can provide free Carlsbad auto insurance quotes for your business. It's much easier because you don't need to visit any agencies because prices are sent to you directly. You can get cheaper auto insurance rates AND a local agent. If you wish to quote rates from one company in particular, don't hesitate to navigate to their website and fill out the quote form the provide.
When narrowing the list to find a local insurance agency, you must know there are a couple types of agencies and how they function. Agencies in Carlsbad can be classified as either independent or exclusive.
Independent Agents (or Brokers)
Independent agencies are not limited to a single company and that enables them to quote your coverage with any number of different companies depending on which coverage is best. If your premiums go up, they can switch companies in-house and the insured can keep the same agent.
When shopping rates, it's a good idea to include independent agents to maximize your price options.
Exclusive Insurance Agents
These type of agents normally can only provide a single company's rates like American Family, State Farm, and AAA. They generally cannot provide rate quotes from other companies so keep that in mind. Exclusive agents are very knowledgeable on sales techniques and that allows them to sell at a higher price point.
Finding the right insurance agency needs to be determined by more than just a cheap quote. Here are some questions to ask:
- Do they specialize in personal lines auto insurance in Carlsbad?
- Are they properly licensed to sell insurance in New Mexico?
- Do they get paid more for recommending certain coverages?
- In the event of vehicle damage, can you pick the collision repair facility?
- Does the agency have a positive business rating?
- Do you have coverage for a rental car if your vehicle is in the repair shop?
- What companies can they write with?
Once you have reasonable responses to these questions and locked in a price quote, you may have found a car insurance agent that will adequately provide auto insurance.
Can switching companies really save?
Insurance companies such as Progressive, Allstate and GEICO endlessly run ads on television and other media. They all seem to convey the message about savings if you just switch your coverage. How is it possible that every company can sell you cheaper insurance coverage?
Many companies quote the lowest rates for the driver that will be a good risk. For example, a driver they prefer may need to be married and over the age of 30, has no claims, and drives less than 10,000 miles a year. Anyone who matches that profile receives the best rates in Carlsbad and most likely will save some money.
Potential customers who do not fit these criteria will probably be forced to pay a higher premium with the end result being business going elsewhere. Company advertisements say "people who switch" but not "everyone who gets a quote" save the amount stated. That's the way companies can claim big savings.
Because of this risk profiling, drivers should do a quote comparison often. It's just too difficult to predict with any certainty which company will be your best fit.
One last note
Budget-friendly car insurance in Carlsbad is possible online as well as from independent agents in Carlsbad, and you should compare rates from both in order to have the best price selection to choose from. Some insurance companies do not offer the ability to get a quote online and these regional insurance providers sell through independent agents.
In this article, we covered a lot of tips how to shop for car insurance online. The key thing to remember is the more rate comparisons you have, the higher the chance of saving money. Drivers may even discover the lowest rates are with some of the lesser-known companies. They may have significantly lower auto insurance rates on certain market segments compared to the large companies like GEICO and State Farm.
Additional information is located at the links below
- Young Drivers: The High Risk Years Video (iihs.org)
- How Much is New Mexico Auto Insurance for High School Students? (FAQ)
- Who Has Cheap Car Insurance for a Toyota Camry in New Mexico? (FAQ)
- Which Company has the Cheapest Car Insurance in Chaparral, NM? (FAQ)
- Who Has the Cheapest New Mexico Auto Insurance for a Toyota Highlander? (FAQ)
- What Car Insurance is Cheapest for Low Income Drivers in New Mexico? (FAQ)
- What Auto Insurance is Cheapest for 19 Year Olds in New Mexico? (FAQ)
- Who Has Cheap New Mexico Auto Insurance for Uber Drivers? (FAQ)
- Distracted Driving (Insurance Information Institute)
- Speed and Speed Limit FAQ (iihs.org)
- Auto Insurance FAQ (Farmers Insurance)
- Prom Night Tips for Teen Drivers (State Farm)