Top Tips to Save Money on Car Insurance
Car insurance premiums can vary by hundreds of dollars between providers. We help you understand how to get the most coverage while saving a lot of money too.
Options: Get at least three quotes from different insurance companies and different types of insurance companies. Ensure all companies are reputable and that you’re comfortable with the service of their professionals.
Compare: Insurance premiums depend partly on the vehicle’s value, the cost to repair it, its safety record, and the likelihood that it will be stolen. So it’s best to compare what the car will cost to insure it before you buy it.
Deductible: Choosing a higher deductible will allow you to pay lower premiums. Just make sure that you have that deductible amount set aside just in case of an emergency.
Optionals: If the value of your car is less than ten times the insurance premium, then you can drop collision and comprehensive coverage. Look up the value of your car before you drop them.
Bundle: Insurers often give discounts to customers that bundle insurance. This means buying home and car insurance from the same company. Or insuring multiple cars or drivers with the same coverage provider. Insurance companies also give loyalty discounts to longtime customers. Ask.
Credit: If you’ve maintained a good credit record, you may be rewarded with lower premiums. Insurance companies believe that responsible people are also low risk and likely to make fewer claims.
Mileage: Some insurers offer discounts to motorists that drive fewer than the average number of miles per year. It could also apply to people that carpool to work.
Group: Insurance companies offer discounts to car owners who purchase insurance through a group plan from their employers, or professional, business and alumni groups, or from other associations. Ask the organizations you’re affiliated with for this information.
Others: Some insurers offer discounts to drivers that have no accident history or moving violations in a specified amount of time or have passed a defensive driving course. If you have a young driver on your policy who is also a good student, or has taken a driver’s education course or is away at college without a car, you can get a lower rate.
