Let’s face it Florida auto insurance is expensive there are several reasons premiums may be increasing The main reason is claims In order for insurance carrier to remain profitable they have to properly manage cash out vs. cash in. One of the biggest influxes of claims stems from auto insurance fraud which has driven up insurance rates in central Florida. An article on Bloomberg recently stated that staged accidents surged over 50% in 2009. The deliberate crashes have moved from south Florida to Central Florida to include Tampa and surrounding areas. Carriers pay out thousands for fraudulent bodily injury and personal injury claims that are paid without proof of fault. Other reasons you may pay more are accidents, major traffic violations and a poor Insurance score. Insurance Risk Scores have become a big part of determining risk for most carriers and while different than a beacon score can have a big impact on the final rate you pay. Insurance carriers have indicated that statistical studies show an association between credit history and the likelihood that a consumer will file an insurance claim. Another reason cited has been the effects of the recession to motivate consumers to reduce coverage’s and drop bodily injury and Uninsured motorist coverage which protects us when we are in an accident caused by others who are driving without any insurance at all. If the uninsured hits us our company pays the claim and in turn drives up rates. Consumers can also expect a big hit to the pocketbook if they allow their auto insurance to lapse, not only is it illegal in the state of Florida but most carriers won’t even insure you and if they do the rate will be astronomical.

Tips To Lower Your Auto Insurance Rate

1. Rate comparison shop with a Independent Agent who represents many companies:

First if you’re considering switching carriers or recently purchased a new car, you should never go direct instead op to go to an insurance broker so that they can shop for you from among all the top carriers at one time to find the best deal. First send them your current declaration page to see if they can beat what you’re currently paying then make changes as needed.

– Don’t shop right after an accident or ticket; you will typically do better where you are since you may be paying a surcharge for a few years for the DMV hit.

– Don’t shop around for insurance when your credit scores are lower.

2. Complete an Annual review of Your Coverage’s with Your Agent:

Your agent has an obligation and a desire to educate you and keep you coming back for years to their agency. Even without switching insurance providers, you may be able to reduce you’re annual premium by discussing your current needs vs. current coverage to determine the best fit, simply said.. needs change over time. Many times you can move some things around to get more optimal coverage and reduce the premium a little.

3. Look for discount Opportunities:

– Shop for a safe car or car with lower rates Example Honda Civic is much more to insure than a Honda Accord.
– Anti theft, Car alarm, Vehicle recovery system.
– Homeowner Discounts.
– Multi-Policy discount Combining multiple cars or Your Home and Auto or Auto and Umbrella liability policy.

4. Last Resort, You lost your job and your desperate to save at least until you get back on your feet and don’t want to have a lapse in coverage.

– Drop your uninsured-motorist coverage.
– Drop extra’s like towing and labor.
– Add a PIP deductible to lower premium.
– Drop your liability coverage to the minimum allowed by state law. In Florida 10/20/10.
– Drop your collision and comprehensive insurance coverage.
– Increase your deductible to $1,000 or more for collision and comprehensive deductible.

It is very important to have affordable insurance on your auto but keep in mind that if you reduce your coverage to the state minimums you may be placing yourself and your family at significant risk of losing much more if you have assets and or liquid reserves. If you are in an at fault accident and you severely injure someone or even God forbid kill them you can be held liable for all expenses over what your insurance policy limits cover. Most will find that some simple repositioning of there coverage’s can provide adequate protection and keep the wallet intact.

Author Bio: Christopher Beard is a Florida insurance agent who uses automation to simplify the consumer buying experience. He is the president of Trinity 1 Financial Group and works with clients to select the right carrier and coverage for all their insurance needs. Slash Your Tampa Florida Auto Insurance Rate

Category: Finances
Keywords: Compare Florida Auto Insurance, Tampa Florida Auto Insurance Quote, auto insurance Discounts