Dallas car insurance rates continue increasing because of a number of factors. These rate affecting factors include, increased accident frequency, auto accident severity, rising numbers of uninsured drivers, and decreased profitability due to stock market volatility. As a car driver, you are probably asking why these things affect your rates and what can you do to lower your insurance rates immediately.
Avoid Distracted Driving
In Dallas, car insurance companies treat accident frequency and severity like all other insurance companies. As an individual, encourage your family and friends to refrain from texting while driving. According statistics released by the Department of Transportation, 16 percent of fatal crashes in 2009 were attributed to distracted driving, killing 5,474 people. With the traffic in Dallas, Texas, would you want to drive down Central Expressway at 70 miles per hour beside someone updating their facebook page? Simply put, lower the number of minor and major accidents involving cell phones would help dallas car insurance rates tremendously.
Drive Safely – Take Defensive Driving
1 in 4 drivers in Dallas county does not have car insurance. Even though Dallas car insurance companies give discounts for maintaining insurance coverage, some drivers simply do not understand the importance of having automobile insurance. Defensive driver courses offer tips to safe driving as well as discounts on some auto insurance policies. So, the next time you talk to your agent, check for the defensive driving discount; it could lower your rates and give you tips to avoid accidents with uninsured drivers.
Bet on factors other than the stock market.
What industry was not affected by the stock market? There are two types of insurance companies: ones that make and investment profit, and companies that make an underwriting profit. Companies that make investment profit tend have greater difficulty controlling insurance rates when the stock market is down. Therefore, their rates tend to be more volatile during rough economic times. On the other hand, auto insurance companies that make an underwriting profit tend to have a less difficult time because their investments are realized only after they make profit. You have to decide which company is the best for you.
Look for hidden A-rated companies
Just because you see an insurance company on TV, does not mean that it is the best company for you. If you have a good driving record and driving a conservative car, there are numerous A-rated insurance companies in Dallas that will insure you. In order to find some of those companies you can go here or look for a local independent insurance agent. When you talk to an independent insurance agent, you may be surprised to find that you get a discount simply for having a college degree, being a teacher or lawyer.