While you may think you are doing a great job with the management of your vehicle-related expenses, be advised that there are still some ways to save money on auto insurance.
Don’t assume you already have the best deal on your policy. With many companies to choose from and a variety of discounts available, there are many things you can do to enjoy discounts and savings on your car insurance policy.
Here are a few essential tips that can help you ensure you’re getting the best possible deal.
#1 – Don’t assume you have the lowest rates – Compare prices each year
Even if you picked the lowest rate a couple of years ago, don’t keep assuming that you still have the lowest rates.
Save Money on Your Auto Insurance Bill, Compare Quotes Fast
Take the time to compare prices every year to see what’s available. You might find a better rate elsewhere, especially if you had a recent rate hike due to making a claim.
However, if you haven’t had any claims recently and you’ve been with your current insurer for years, it’ll probably be tough to beat your current rate.
#2 – Find out about billing and payment discounts
Discounts can help you save big time, and no matter what your driving record is or the coverage you choose, you can usually qualify for billing and payment discounts.
Many companies will give you a discount for choosing paperless billing, and you may receive a discount for going with automatic electronic payments, as well.
Paying the full six-month premium up front instead of monthly can also help you save.
#3 – Consider regional and local insurers, too
While you want to make sure you are insured by a high-quality company, consider your regional and local insurers, too.
Some smaller regional insurers may have lower rates, and they commonly have higher ratings in customer satisfaction.
#4 – Ask about multiple policy discounts
If you also need renter’s insurance or homeowner’s insurance, ask your auto insurance company about discounts for having multiple policies.
When you bundle those policies together, you’ll often get a discount on all of your policies, which can really save you money.
#5 – Keep your credit score in good standing
In most states, your credit score can be used by insurance companies when they are determining what to charge you.
Work to keep your credit score in good standing. Check your credit report regularly for any errors that may be affecting your score negatively.
If you’ve recently had your finances and credit report affected by divorce, death of a family member, job loss, medical problems, or a military deployment, talk to your insurer about getting an exception, so you’re not being penalized based on your credit score.
#6 – Check into safe driving discounts for every driver on the policy
Is your driving record clean? As long as you haven’t had an accident or a ticket in the past three to five years, there’s a good chance you can get a safe driving discount.
Just remember, if you do have an accident or get a ticket, you’ll lose the discount. If you have multiple drivers on your policy, ask for a discount for every safe driver.
If you do end up with a ticket, take that defensive driving course to get it off your record. A defensive driving course can help you keep your discount and may even earn you an extra discount for even more savings.
#7 – Think carefully about your deductible
The deductible you choose has a significant impact on what you pay for your auto insurance. Choose a higher deductible, and you’ll pay a lower premium.
Just raising it by a couple hundred dollars can help you save significantly on your premium.
If you haven’t had an accident in years and you have a great driving record, going with a higher deductible could be a great choice. Of course, just ensure you can pay that deductible if you have to.
Just because you are doing great with managing your expenses doesn’t mean you can’t find ways to save money on auto insurance.
Use these tips to look for discounts and savings to keep your premiums from breaking the bank.