Car insurance can be a big expense, but there are plenty of ways to save money on your premium. Here are seven easy tips to get you started.
1. Drive Safely.
This one is a no-brainer. If you have a clean driving record, you’re much less likely to get into an accident, and that will save you money on your premium. But even if you have been in an accident, there are still things you can do to lower your rates.
Take a defensive driving course, for example. Or install a dashcam in your car. These things show insurers that you’re serious about being a safe driver, and that can lead to lower rates. Cheap car insurance rates aren’t hard to find, you just have to be willing to find ways to save.
2. Shop around
Many people believe that the only way to find the best deal on auto insurance is to shop around. However, there are a few other important factors to consider when searching for auto insurance. The type of vehicle you drive, your driving record, and the amount of coverage you need will all play a role in determining your premium.
In addition, some insurers offer discounts for certain types of drivers, so it’s important to ask about these before you purchase a policy. By taking the time to understand your needs and compare rates from different insurers, you can be sure to get the best deal on auto insurance.
3. Raise Your Deductible
If you’re looking to save money on your car insurance, one of the best things you can do is raise your deductible. By increasing your deductible from $500 to $1,000, you could potentially save hundreds of dollars every year.
Of course, this means that you would have to pay more out of pocket if you were to get into an accident, but the savings could be well worth it.
Just be sure to set aside enough money in case of an emergency. And if you’re ever in doubt, it’s always best to speak with your insurance agent to see what they recommend.
4. Don’t Pay for Extras You Don’t Need.
There are all sorts of add-ons and extras that insurance companies will try to sell you, but most of them are unnecessary. Roadside assistance, for example, is something that’s nice to have but is not essential, and it’s usually available through other membership programs like AAA anyway.
The same goes for rental car reimbursement—it might be useful in some situations, but it’s not worth the extra cost in most cases. When shopping for car insurance, be sure to only buy the coverage you actually need.
5. Use technology to your advantage.
There are all sorts of apps and devices these days that can help you save money on car insurance. Usage-based insurance programs (also known as telematics) monitor your driving habits and give discounts to drivers who practice safe driving.
And there are even devices that plug into your car and send data to your insurance company about how much (or how little) you drive—so if you don’t commute or drive very often, you could qualify for a low-mileage discount.
6. Consider public transportation or carpooling.
If saving money on car insurance is your goal, then one of the best things you can do is drive less! If you live in an urban area and can take public transportation or carpool instead of driving every day, you could see a significant decrease in your rates. And even if public transportation isn’t an option for you, try carpooling with friends or coworkers when possible—every little bit helps!
7. Keep Your Car In Good Shape.
One of the things insurance companies look at when determining rates is the safety of your car. If you have an older car, it might not have all the latest safety features, and that could lead to higher rates.
So if you’re looking to save money on car insurance, it’s a good idea to keep your car in good shape. Make sure all the safety features are up to date, and consider upgrading if possible.
There are lots of easy ways to save money on car insurance—all it takes is a little research and effort on your part! By following these tips, you could see significant savings on your premium without compromising your coverage or peace of mind behind the wheel.