Auto insurance can be really confusing and complicated. There are a lot of things that you need to take into consideration prior to purchasing car insurance, and then you have to figure out which company to go with.
With seemingly endless options out there, choosing the right coverage and right company for your car insurance can be overwhelming at the very least. Thankfully, there are a lot of ways you can save on auto insurance.
Here are some tips on how to get the lowest rates on your car insurance:
1) Comparison shop
This is best and proven way to maximize auto insurance savings. Having the internet at our fingertips makes finding the right car insurance for you so much easier than it was in the past. One way to get a lower rate on your car insurance policy is to go online and compare the rates of several different companies.
Just fill out the quote forms for however many insurance providers you want (choosing the same coverage types and amounts), and see which one will give you the lowest rate.
2) Ask for discounts
Most car insurance companies will have a range of discounts available to you to help save money on your car insurance policy.
Of course, you need to find out which of these discounts you are eligible for, but you may be pleasantly surprised at how many are available and how much you might save on your policy in the long run.
Some examples of discounts available through some car insurance providers are good driver discount, student discount, mileage discounts, multiple vehicle discounts, paperless billing discounts, and many more.
Go online or call your car insurance provider to see what discounts you might be eligible for.
3) Bundle your policies
Many people have multiple insurance policies these days—car, rental, home, boat, motorcycle, etc.
If you have more than one type of insurance policy, you may be able to bundle them together with one insurance provider to get an even bigger discount on the rates for each of those policies.
4) Increase your deductible
In general, the higher your deductible, the lower your insurance rate will be.
Of course, a higher deductible means that you will have to pay more out of your own pocket for any future repairs, but if you have the funds available and are willing to take the risk, you could save yourself a lot of money in monthly premiums by increasing your deductible amount.
Don’t do this if you aren’t prepared to shell out more money for any unexpected repairs that may come up.
5) Compare insurance costs BEFORE you buy a new car
Insurance rates vary based on many different factors, one being the type of car you drive.
If you are in the market for a new car, thinking about insurance before you make a purchase can be beneficial for you and help you in reducing your monthly premiums.
Fast cars with bigger engines tend to yield higher premiums than your standard family sedan, so take a look at what insurance might cost you per month before you sign your name on that dotted line at the dealership.
There are many ways you can reduce your monthly premiums and overall costs of car insurance. A little research can go a long way in helping to keep your auto insurance costs down and keep your wallet padded.