Overpriced auto insurance in Hereford can empty your checking account and make it impossible to make ends meet.
Shocking but true, the vast majority of drivers have stayed with the same insurance company for at least the last four years, and 38% of drivers have never shopped around. Most drivers in the United States could save themselves approximately $860 a year, but they underestimate the benefits if they moved their coverage to a different company. Due to the increasing number of companies and agents to choose from, it can be challenging to find the most cost effective insurance company.
It is always a good idea to quote other rates once or twice a year because prices change frequently. Even if you think you had the best rates on auto insurance a couple years back a different company probably has better premium rates today. Forget anything you know (or think you know) about auto insurance because you're going to learn how to use the internet to properly buy coverages and cut your premium.
Cheapest car insurance companies in Hereford
The providers in the list below can provide comparison quotes in Texas. If you wish to find cheap auto insurance in Texas, it's highly recommended you visit as many as you can to get a more complete price comparison.
|Make, Model, and Trim Level||Annual Policy Premium||6-month Policy Premium||Monthly Premium|
|Chevrolet Impala LS||$1,250||$625||$104|
|Chevrolet Silverado Crew Cab Hybrid 4WD||$1,560||$780||$130|
|Dodge Grand Caravan CV||$1,086||$543||$91|
|Dodge Ram Crew Cab Laramie 2WD||$1,772||$886||$148|
|Ford Escape XLT 4WD||$1,142||$571||$95|
|Ford F-150 Lariat Super Cab 4WD||$1,382||$691||$115|
|Ford Focus S 4-Dr Sedan||$1,176||$588||$98|
|GMC Sierra SL Extended Cab 2WD||$1,284||$642||$107|
|Honda Accord LX-P 4-Dr Sedan||$898||$449||$75|
|Honda CR-V EX-L 2WD||$990||$495||$83|
|Honda Civic LX-S 4-Dr Sedan||$1,552||$776||$129|
|Jeep Wrangler Unlimited Sahara 2WD 4-Dr||$1,190||$595||$99|
|Mazda 3 S Sport 4-Dr Sedan||$1,252||$626||$104|
|Nissan Altima Hybrid 4-Dr Sedan||$1,460||$730||$122|
|Nissan Rogue SL AWD||$1,352||$676||$113|
|Toyota Camry LE||$1,012||$506||$84|
|Toyota Corolla XLE||$1,340||$670||$112|
|Volkswagen Jetta SEL 4-Dr Sedan||$1,058||$529||$88|
|Get Your Own Custom Quote Go|
Above prices assume married male driver age 30, no speeding tickets, no at-fault accidents, $500 deductibles, and Texas minimum liability limits. Discounts applied include claim-free, homeowner, multi-policy, safe-driver, and multi-vehicle. Rates do not factor in Hereford location which can modify premium rates considerably.
Physical damage deductible comparison
One of the hardest decisions when shopping for car insurance is how low should you set your deductibles. The following insurance rates show the rate fluctuation when you choose different comp and collision deductibles. The first rate estimation uses a $250 deductible for comprehensive and collision coverage and the second rate chart uses a $500 deductible.
Nissan Altima 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|
|Altima 2.5 4-Dr Sedan||$294||$496||$382||$22||$114||$1,333||$111|
|Altima 2.5 S 4-Dr Sedan||$294||$584||$382||$22||$114||$1,421||$118|
|Altima Hybrid 4-Dr Sedan||$332||$584||$382||$22||$114||$1,459||$122|
|Altima 2.5 S 2-Dr Coupe||$332||$584||$430||$26||$128||$1,525||$127|
|Altima 3.5 SR 4-Dr Sedan||$332||$584||$382||$22||$114||$1,459||$122|
|Altima 3.5 SR 2-Dr Coupe||$332||$672||$430||$26||$128||$1,613||$134|
|Get a Quote for Your Vehicle Go|
|Model||Comp||Collision||Liability||Medical||UM/UIM||Annual Premium||Monthly Premium|
|Altima 2.5 4-Dr Sedan||$240||$400||$382||$22||$114||$1,158||$97|
|Altima 2.5 S 4-Dr Sedan||$240||$472||$382||$22||$114||$1,230||$103|
|Altima Hybrid 4-Dr Sedan||$270||$472||$382||$22||$114||$1,260||$105|
|Altima 2.5 S 2-Dr Coupe||$270||$472||$430||$26||$128||$1,326||$111|
|Altima 3.5 SR 4-Dr Sedan||$270||$472||$382||$22||$114||$1,260||$105|
|Altima 3.5 SR 2-Dr Coupe||$270||$542||$430||$26||$128||$1,396||$116|
|Get a Quote for Your Vehicle Go|
Data assumes married male driver age 30, no speeding tickets, no at-fault accidents, and Texas minimum liability limits. Discounts applied include safe-driver, homeowner, multi-policy, multi-vehicle, and claim-free. Information does not factor in vehicle location which can lower or raise coverage rates considerably.
We can estimate from the data above that using a $250 deductible costs approximately $16 more each month or $192 every year than requesting the higher $500 deductible. Because you would be required to pay $250 more to settle a claim with a $500 deductible as compared to a $250 deductible, if you go at least 16 months between claims, you would most likely save money if you decide on a higher deductible.
How to calculate deductible break even period
|Average monthly premium for $250 deductibles:||$122|
|Average monthly premium for $500 deductibles (subtract):||- $106|
|Monthly savings from raising deductible:||$16|
|Difference between deductibles ($500 - $250):||$250|
|Divide difference by monthly savings:||$250 / $16|
|Number of months required between physical damage coverage claims in order to save money by choosing the higher deductible||16 months|
Full coverage or liability only
The example below illustrates the comparison of Hyundai Elantra premium costs with liability coverage only compared to full coverage. The data is based on no violations or claims, $1,000 deductibles, single female driver, and no discounts are taken into consideration.
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 to delete physical damage insurance, but there is a general guideline. If the yearly cost of full coverage is more than about 10% of the vehicle's replacement cost less your deductible, then you may want to consider only buying liability coverage.
For example, let's say your Hyundai Elantra settlement value is $6,000 and you have $1,000 deductibles. If your vehicle is damaged in an accident, the most your company would pay you is $5,000 after the deductible is paid. If you are currently paying more than $500 a year for your policy with full coverage, then it could be time to drop full coverage.
There are some scenarios where buying only liability insurance is not a good idea. If you still have a loan on your vehicle, you are required to maintain full coverage in order to prevent your loan from defaulting. Also, if you can't afford to buy a different vehicle if your current one is in an accident, you should not remove full coverage.
You have control over your insurance costs
It's important that you understand the different types of things that go into determining the level of your policy premiums. If you have some idea of what controls the rates you pay, this enables informed choices that could result in lower insurance prices. Lots of things are taken into consideration when pricing auto insurance. Some are obvious such as traffic violations, but others are not quite as obvious like where you live or your financial responsibility.
Listed below are some of the things used by your company to calculate your rates.
- Gender and car insurance prices - Statistics show females are less aggressive when driving. That doesn't necessarily mean that men are worse drivers. Both genders cause fender benders in similar numbers, but men have accidents that have higher claims. Men also tend to receive more major tickets like driving under the influence (DUI).
- Pay more if you have a long commute - Residing in a rural area has definite advantages when shopping for auto insurance. Residents of big cities have to deal with congested traffic and longer commute times. Less people living in that area translates into fewer accidents in addition to lower liability claims
- Pay more by driving carelessly - Your driving citation history can have a huge impact on auto insurance premiums. Good drivers tend to pay less for car insurance as compared to careless drivers. Even a single speeding ticket or other violation can increase rates substantially. Drivers who have received serious tickets like reckless driving, hit and run or driving under the influence may be required to file a SR-22 with their state motor vehicle department in order to continue driving.
- Rates increase with policy add-ons - There are quite a few additional coverages that can add up but may not be useful. Coverages for rental car coverage, accident forgiveness, and term life insurance may be wasting your money. These coverages may sound good when you first buy your policy, but your money might be better spent on other coverage so think about removing them and cutting costs.
Determine discounts on Hereford insurance
The cost of insuring your cars can be expensive, but discounts can save money and there are some available to help offset the cost. Some of these discounts will be visible when you complete an application, but some discounts are required to be specially asked for before you get the savings.
- Accident Waiver - Not a discount per se, but companies like Liberty Mutual, Allstate and State Farm may permit one accident before your rates go up as long as you don't have any claims for a certain period of time.
- Active Military Service - Being deployed in the military could be rewarded with lower rates.
- Discount for Multiple Policies - If you have multiple policies with the same insurance company you could save nearly 15% which can help you find affordable Hereford car insurance.
- Telematics Data Discounts - Drivers that enable their company to monitor where and when they drive by installing a telematics device such as In-Drive from State Farm or Allstate's Drivewise system could see a rate decrease if their driving habits are good.
- Drivers Ed for Students - It's a good idea to have your young drivers successfully take a driver's education course in school.
- Claim Free - Drivers with accident-free driving histories are rewarded with significantly better rates on Hereford car insurance quote in comparison to policyholders that have many claims.
- Discounts for Multiple Vehicles - Having more than one vehicle on the same insurance policy can reduce the rates for all insured vehicles.
- Federal Government Employee - Active or former government employment can earn a discount up to 10% with certain companies.
It's important to note that some credits don't apply to the entire policy premium. Some only reduce specific coverage prices like comp or med pay. So even though they make it sound like adding up those discounts means a free policy, you won't be that lucky.
A few popular companies and a partial list of their discounts can be read below.
- Farmers Insurance offers discounts including good student, alternative fuel, early shopping, bundle discounts, mature driver, and electronic funds transfer.
- Esurance may include discounts for online quote, paid-in-full, defensive driver, Pac-12 alumni, and homeowner.
- State Farm policyholders can earn discounts including defensive driving training, good student, multiple autos, passive restraint, student away at school, Steer Clear safe driver discount, and good driver.
- GEICO includes discounts for multi-vehicle, defensive driver, federal employee, emergency military deployment, and daytime running lights.
- Allstate discounts include premier discount, 55 and retired, passive restraint, teenSMART discount, senior citizen, and resident student.
When comparing rates, check with each company or agent to give you their best rates. Some discounts may not apply in Hereford. To choose insurance companies with discount insurance rates in Hereford, click this link.
Auto insurance quotes from local Hereford insurance agents
A small number of people prefer to sit down and talk to an agent and that is just fine! Licensed agents are trained risk managers and help file insurance claims. An additional benefit of comparing auto insurance online is that drivers can save money and get cheap rate quotes and also buy local. Buying from and supporting local agents is important particularly in Hereford.
To make it easy to find an agent, after completing this simple form, your information is transmitted to companies in Hereford that can give you free Hereford car insurance quotes for your business. It's much easier because you don't need to find an agent since price quotes are sent to you instantly. In the event you want to get a rate quote from a particular provider, you just need to visit that company's website to submit a rate quote request.
Two types of car insurance agents
When finding an insurance agent, there are a couple of types of agencies and how they can quote your rates. Agents in Hereford can either be exclusive or independent. Either one can do a good job, but it is a good idea to know the difference in the companies they write for since it can affect the selection process.
Independent Agents (or Brokers)
These type of agents are appointed with more than one company so they have the ability to put coverage with a variety of different insurance companies and possibly get better coverage at lower prices. If you want to switch companies, they simply move your policy to a different company without you having to go to a different agency.
If you are comparing rate quotes, you absolutely need to include at least one independent agent for the best price selection.
Exclusive Auto Insurance Agents
Agents of this type can only provide one company's prices like American Family, State Farm, and AAA. They usually cannot provide other company's prices so they are skilled at selling on more than just price. Exclusive insurance agents receive extensive training on their products and sales techniques which helps offset the inability to provide other markets.
Picking an insurance agency needs to be determined by more than just the price. You should also get answers to these questions.
- Which companies do they recommend if they are an independent agency?
- Which company do they place the most coverage with?
- How experiences are they in personal risk management?
- If you have an accident, will your rates go up?
- How often do they review policy coverages?
- Do they carry Errors and Omissions coverage?
- Will their companies depreciate repairs to your car based on the mileage?
After talking to the agent and getting good responses to any questions you may have as well as offering an affordable quote, you have narrowed it down to a car insurance agent that meets the criteria to properly service your auto insurance policy.
Don't be fooled by advertising claims
Consumers can't get away from all the ads that promise big savings from the likes of GEICO, State Farm and Progressive. They all make the point that drivers can save some big amount if you change your policy.
How do they all lower your rates? It's all in how they say it.
Car insurance companies give the best rates for the type of driver that is profitable for them. A good example of a profitable customer should be over the age of 45, carries full coverage, and drives less than 10,000 miles a year. A driver that matches those criteria will get low rates and will probably save when switching.
Potential customers who don't qualify for this stringent profile will probably have to pay a higher premium with the end result being business not being written. The trick companies use is to say "people who switch" but not "all drivers who get quotes" save the amount stated. This is how insurance companies can confidently make those statements.
This illustrates why you should compare as many free Hereford car insurance quotes as you can. Because you cannot predict which company will be your best fit.
Don't assume everyone needs the same car insurance coverage
When quoting and comparing your policy, there really is not a best way to insure your cars. You are unique.
For instance, these questions may help highlight whether you might need an agent's assistance.
- How much liability coverage do I need in Texas?
- Do all my vehicles need collision coverage?
- Am I covered if hit by an uninsured driver?
- Does coverage extend to a rental car in a foreign country?
- Should I buy only the required Texas minimum liability coverage?
- Can I get a multi-policy discount for packaging my home and auto coverage?
If you don't know the answers to these questions but a few of them apply, then you may want to think about talking to a licensed insurance agent. If you want to speak to an agent in your area, fill out this quick form. It only takes a few minutes and you can get the answers you need.
Quote often and quote early
Cheaper car insurance in Hereford can be sourced online in addition to many Hereford insurance agents, so get free Hereford car insurance quotes from both of them to get a complete price analysis. Some car insurance companies do not provide rates over the internet and many times these smaller companies only sell through independent agents.
When you buy Hereford car insurance online, you should never skimp on coverage in order to save money. In many cases, an insured dropped uninsured motorist or liability limits and learned later that it was a big error on their part. The goal is to buy a smart amount of coverage at the best price while still protecting your assets.
Consumers who switch companies do it for a variety of reasons including questionable increases in premium, extreme rates for teen drivers, high prices and delays in paying claims. Regardless of your reason, finding a new car insurance company is not as difficult as it may seem.
More information can be read below:
- Understanding Car Crashes Video (iihs.org)
- Who Has Affordable Car Insurance Quotes for a School Permit in Texas? (FAQ)
- Who Has Cheap Auto Insurance Quotes for a Nissan Altima in Texas? (FAQ)
- Auto Insurance Learning Center (State Farm)
- Avoiding Deer Collisions (Insurance Information Institute)
- Child Safety FAQ (iihs.org)
- Vehicle Insurance in the U.S. (Wikipedia)