It takes a few minutes, but the best way to get budget car insurance rates in San Jose is to make a habit of comparing prices annually from companies in California.
- Step 1: Try to comprehend policy coverages and the modifications you can make to prevent rate increases. Many risk factors that cause rate increases like inattentive driving and a less-than-favorable credit rating can be improved by making lifestyle changes or driving safer. This article provides more ideas to get lower rates and find hidden discounts.
- Step 2: Get rate quotes from independent agents, exclusive agents, and direct companies. Direct companies and exclusive agencies can give quotes from one company like Progressive or Farmers Insurance, while independent agencies can give you price quotes from multiple sources.
- Step 3: Compare the new rate quotes to your existing rates to determine if you can save on Model S insurance in San Jose. If you find a lower rate quote and switch companies, ensure there is no coverage lapse between policies.
A good tip to remember is to compare the same coverage limits and deductibles on each price quote and and to get prices from as many auto insurance providers as possible. Doing this helps ensure a level playing field and the best price quote selection.
Statistics show that most auto insurance buyers in California have bought auto insurance from the same company for more than four years, and almost 40% of drivers have never shopped around. With the average premium in the U.S. being $1,847, drivers could save approximately $859 each year just by shopping around, but they don’t understand how simple it is to shop around.
If you already have coverage, you stand a good chance to be able to save money using the ideas covered in this article. Comparing quotes for the lowest cost auto insurance coverage in San Jose is simple if you know the tricks. But California consumers need to learn how big insurance companies sell online and use it to your advantage.
Seven factors that impact insurance premiums
Consumers need to have an understanding of the factors that go into determining the rates you pay for insurance. When you understand what determines premiums, this helps enable you to make changes that can earn you lower insurance prices.
The items below are some of the items companies use to determine premiums.
Don’t let your insurance policy lapse – Not having insurance can get your license suspended and any future policy may cost more because you let your insurance lapse for non-payment. In addition to paying higher rates, the inability to provide proof of insurance could result in a revoked license or a big fine.
Fast cars cost more to insure – The performance level of the vehicle you are insuring makes a significant difference in your premium level. Lower performance four cylinder passenger cars usually have the lowest rates, but your final cost has many other factors.
Which gender costs less? – The statistics show women tend to be less risk to insure than men. The data does not necessarily mean that females are better drivers. Both sexes are responsible for auto accidents in similar percentages, but men tend to have more serious accidents. Men also statistically receive more costly citations like reckless driving and DUI.
How’s your driving record? – Good drivers pay less for auto insurance compared to drivers with tickets. Getting just one speeding ticket or other violation may increase your cost substantially. Drivers who have gotten careless citations such as DUI or willful reckless driving may be required to file a proof of financial responsibility form (SR-22) with their state’s department of motor vehicles in order to keep their license.
Costs may be higher where you live – Choosing to live in smaller towns and rural areas of the country may provide you with better prices if you are looking for the lowest rates. Drivers who live in large cities tend to have traffic congestion and much longer commute distances. Fewer people means a lower chance of having an accident in addition to fewer liability claims.
You might want pay the small policy claims yourself – If you tend to file frequent claims, you shouldn’t be surprised to get higher rates. Car insurance companies in California award better rates to drivers who file claims infrequently. Your car insurance is meant to be used in the event of larger claims.
Safer vehicles lower premiums – Safer cars get lower rates. Vehicles engineered for safety protect occupants better and lower rates of occupant injuries translates into fewer and smaller insurance claims and lower rates for you.
Insurance loss data for Tesla Model S vehicles – Insurance companies factor in historical loss data as a tool for profitable underwriting. Models that tend to have higher claim amounts or frequency will have higher rates for specific coverages. The table shown below demonstrates the insurance loss data used by companies for Tesla Model S vehicles.
For each policy coverage type, the claim probability for all vehicles as a whole equals 100. Percentage numbers below 100 indicate a favorable loss history, while percentage values above 100 indicate more frequent losses or an increased probability of a larger loss.
|Make and Model||Collision||Property Damage||Comp||Personal Injury||Medical Payment||Bodily Injury|
|Tesla Model S 4dr Electric 2WD||324||116||208||39||46||104|
|Tesla Model S 4dr Electric 4WD||333|
Empty fields indicate not enough data collected
Statistics Source: Insurance Institute for Highway Safety for 2013-2015 Model Years
Get cheaper Tesla Model S insurance rates in San Jose
Companies don’t list every discount they offer in a way that’s easy to find, so the next list breaks down a few of the more well known and also the lesser-known discounts that you may qualify for.
- Anti-lock Brake System – Vehicles that have steering control and anti-lock brakes have fewer accidents and earn discounts up to 10%.
- Seat Belt Discounts – Drivers who require all vehicle occupants to wear their seat belts can save a little on medical payment and PIP coverage.
- Lower Rates for Military – Having an actively deployed family member could mean lower prices.
- Online Discount – Many insurance companies give back up to $50 for buying your policy digitally online.
- Life Insurance – Not all companies offer life insurance, but some may give you a break if you buy life insurance.
- Responsible Driver Discounts – Drivers who don’t get into accidents can get discounts for up to 45% lower rates than less cautious drivers.
- Resident Student – Children who are enrolled in higher education away from home and won’t have access to an insured vehicle may qualify for this discount.
- More Vehicles More Savings – Buying insurance for multiple cars or trucks with the same insurance company may reduce the rate for each vehicle.
- Telematics Devices – San Jose drivers who agree to allow their insurance company to look at where and when they drive through the use of a telematics system like In-Drive from State Farm and Progressive’s Snapshot could possibly reduce rates if they have good driving habits.
We need to note that some credits don’t apply to the whole policy. Some only reduce individual premiums such as comprehensive or collision. So when it seems like you can get free auto insurance, company stockholders wouldn’t be very happy.
To see a list of insurance companies who offer free Tesla Model S insurance quotes in San Jose, click this link.
You can find cheaper coverage
We just showed you many tips how you can find affordable Tesla Model S insurance in San Jose. The key thing to remember is the more price quotes you have, the better your comparison will be. Drivers may even discover the most savings is with a small mutual company. Some small companies may cover specific market segments cheaper than the large multi-state companies such as Allstate and Progressive.
As you prepare to switch companies, you should never skimp on critical coverages to save a buck or two. In many cases, consumers will sacrifice comprehensive coverage or liability limits and discovered at claim time that it was a big mistake. Your focus should be to purchase a proper amount of coverage at a price you can afford, but don’t skip important coverages to save money.
Even more information is available at these sites:
- Warning systems don’t curb driver distraction (Insurance Institute for Highway Safety)
- What is the Cheapest Auto Insurance in San Jose, California? (FAQ)
- Who Has Cheap Auto Insurance Rates for Immigrants in San Jose? (FAQ)
- Collision Coverage (Liberty Mutual)
- Auto Insurance FAQ (Farmers Insurance)