Great Ways to Save Money on Auto Insurance






Inflation hits all areas of your life, even the cost of insuring your car. While changing providers can help you save money on your auto coverage. Here are some tips to help you lower that bill, without sacrificing too much on the protection you need.

Deductible

Choose a higher deductible and watch your monthly premium fall. Increasing the level to one thousand dollars could result in a bill that drops by forty percent or more. There is a trick to following this advice, however. Take the money that is being saved each month and set is aside in a separate account.

Continue doing this until you have reached that $1000 threshold. The funds will be there if you ever need to cover the deductible and you will continue enjoying the lower price every month after that.

Drop Collision and Comprehensive on Older Cars

These coverages are designed to get your auto fixed in the event of an accident or vandalism. They are required on vehicles that are financed. Once the note is paid off, however, that protection can be dropped. Keep in mind that the deductible will have to be paid when the damages are to your own property. If your car is only worth two thousand dollars and you will have to pay a thousand of that, then it may be well worth it to just drop these options completely.

Shop Around

Nothing drives prices lower like competition. Comparison websites allow you to put that force to work for you. By entering your information in the system, you will quickly receive quotes from multiple companies. You may find out that the best option for your needs is an agency you wouldn’t have thought to call on your own.

Bundle It

Most insurance providers offer discounts for people who have more than one policy with them. Insure your home and car with the same company to receive attractive discounts on each policy. Look at all the products your provider offers to see which ones you are interested in.

Multiple Cars

If you own a motorcycle, recreational vehicle or equipment like ATV’s and jet-skis, then you might want to find a company that can insure all of these modes of transportation. Having multiple cars insured with the company can also provide you with handsome savings.

Drive Less

Taking steps to put fewer miles on the car is great for your wallet in several ways. The maintenance will be reduced, you’ll spend less money on fuel and you can even get a lower insurance quote. Carefully consider how many miles you actually drive on an annual basis. Talk to your company to be sure that their information accurately reflects that.

Look for Extra Fees

Some providers charge you for the convenience of monthly payments. If this is the case, try to pay the policy in full when it arrives to save money. If you are in the habit of making payments by phone, ask if there are charges associated with that. Late fees can add up, make sure you are mailing the funds early enough to avoid these extra charges.

Safe Driver

Maintain a clean driving record and enjoy a lower cost of insurance. Most companies offer discounts if you go three years or more without a ticket or accident. Check your history and then talk to your company about getting the price break if you are eligible.

Optional Services

There is no reason to pay for towing coverage if you already have AAA protection. Check with your credit cards to see if any of them automatically provide you with roadside assistance or rental car coverage. If you have these services available at a lower price through another channel, then you do not need to buy them from the insurance company.

Anti-Theft

Most cars now come with anti-theft devices, and that information is taken into account when the company determines your premium. However, if you add a security alarm then you will qualify for an additional discount. Talk to your agent to make sure that you receive the proper credit.

Safety

Safer cars cost less to insure. While a really affordable car may look good initially, the cost of insurance for it may actually be quite high if there are no air bags or anti-lock brakes. To get the best insurance rates on a new car, look at the overall safety ratings and available features.

Good Students

Students who get achieve high grades qualify for discounts because it shows they are responsible. When you have a teenager in the house, remind them of this face. Then, call the insurance company to cash in on your kid’s honor roll status.

There are many ways you can reduce the cost of auto insurance. Drive carefully and defensively. Talk to your agent to ensure that you are getting all discounts you qualify for. Consider choosing a higher deductible and eliminating coverage you may no longer need. Most importantly, shop around using comparison tools so you can find the best price available.


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