Arizona Gets $16 Million Auto Insurance Break
Arizona residents who are insured with American Family Mutual Insurance Company are getting an auto insurance break to the tune of $16 million. Starting March 1, the fifth-largestinsurer of private cars in Arizona will be lowering rates on average by 5.9 percent, saving customers millions in insurance costs.
Breakdown of Cost Savings
As mentioned previously, customers will receive an average 5.9 percent reduction in costs, giving them a nice break of $13.7 million.
However, American Family’s standard auto insurance subsidiary, American Standard Insurance Company, is also lowering rates. The reduction will average 7.3 percent, which is projected to save Arizona residents an additional $2.4 million, totaling over$16 million in savings.
Cost Adjustments Will Vary
According to American Family, adjustments in rates will vary depending on a number of factors, including:
- Geographic area
- Coverages purchased
- Type of vehicle
The insurer said the reduction in insurance costs would vary for other reasons as well, but for those looking for the best savings in auto coverage should purchase the comprehensive and collision coverages. In fact, the insurer said that those who purchase liability only may actually see an increase in costs.
If you find that you’re not happy with the cost adjustments, you could always shop around for new coverage. It’s important to cut costs wherever you can, so if finding lower auto insurance rates is the best option then it’s a good idea to get started as soon as possible.