6 Ways To Save Money On Your Auto Insurance
Drivers pay an average of $671 a year for insurance. Drivers with advanced insurance on luxury vehicles and infractions on their driving record will pay significantly more. While insurance is necessary, you may want to do more to manage costs, including auto insurance. Try these six tips to save money on your auto insurance.
Consider Insurance Costs When You Buy a New Car
Inexpensive vehicles with high safety ratings cost less to insure than luxury vehicles with fewer safety features. Showy cars, such as bright red sports vehicles, tend to cost more to insure than a black sedan, as well. When you set your budget for your vehicle, consider insurance costs as well. You may not want to buy an expensive dream car if your budget doesn't allow for the higher insurance costs.
Shop Around
Get detailed quotes for auto insurance from multiple reputable companies to compare your options. Get a quote for your auto insurance alone as well as the cost of bundled insurance (if applicable). Compare companies for value instead of looking at the cost alone. In some cases, additional coverage offered by one company can be worth the additional cost.
Raise Your Deductible
The deductible is the amount the policyholder pays after an accident before the insurance picks up the remaining cost. A low deductible of $100 will require a higher premium every month compared to a deductible of $1000. You might want to have the amount of the deductible in savings in case of an emergency.
Select Coverage Carefully
Examine your policy options to ensure that you have the coverage you need without paying for any additional coverage. Ask about customizable policy options that give you the ability to design your policy specifically to your needs.
Take Advantage of Discounts
Most insurance companies offer discounts in numerous ways. When you get a quote, be sure to have the associate include a list of discounts available to customers in your area.
Some discounts include:
- Good student discounts
- Safe driver discounts
- Senior discounts
- Military discounts
Don't forget to look into bundling your auto insurance policy with your other insurance policies, such as homeowner's insurance or life insurance. Most companies offer a discount if you go through them for all of your insurance needs.
Get Professional Assistance
Car insurance can be nuanced. New policy owners and seasoned drivers alike should enlist the help of a professional insurance agent to answer questions and make valuable suggestions.
Contact an auto insurance agent for more information.