Mar 31, 2004 -- Auto insurers lowering premiums!
Car insurers that have been tripping all over each other to raise premiums are now dialing back a bit. The overall insurance market shows very minimal increases for the next year, and people in many states will benefit from lower insurance rates. In Florida, New York and Massachusetts, this is not true. Those states are suffering from a lot of auto theft and from the fraud rings that stage accidents to make money. But State Farm, the largest auto insurer in the country, has cut rates in 13 states already this year. USAA, one of the nations best, has cut rates in 20 states. Some of it is due to market share pressure from competitive companies like Geiko and Progressive. But its also because baby boomers are aging and are becoming better drivers. The key for you is to shop for insurance. You can find huge disparities in the cost of premiums from one insurer to another. Yet, most people wont shop around because its boring. When you shop, be sure to raise your deductible as high as you can. This will reduce your premiums and you dont want to make a claim unless its for something catastrophic. Secondly, start with the best insurers. Consumer Reports has found three companies are the top year after year. Amica Mutual is No. 1, according to the latest survey. You have to have a great driving record and drive a dull car or they dont want you. USAA is No. 2, followed by Cincinnati Insurance.