10 Smart Ways to Save on Auto Insurance
Are you looking to cut down on your auto insurance expenses without sacrificing coverage? Whether you’re a seasoned driver or a new policyholder, there are a several cost-effective strategies for lowering your premiums while still protecting yourself on the road. In this post, we take a look at ten different ways to cut your costs without cutting your coverage.
1.) Shop Around to Save on Auto Insurance
One of the most effective ways to save on auto insurance is to shop around and compare quotes from multiple insurance carriers. Prices can vary significantly between providers, so taking the time to research your options could result in substantial savings. Enlisting the help of an insurance broker expedites this process because they do all the work for you. You provide the agent with the necessary information to obtain a quote and they take it to the insurance carriers on your behalf. All you have to do is choose the best option that suits your needs.
2.) Bundle Policies
Many insurance companies offer discounts for bundling multiple policies, such as multiple vehicles or home and auto insurance. By consolidating your insurance needs with one provider, you could unlock valuable savings on your premiums.
3.) Maintain a Good Driving Record
Your driving history plays a significant role in the determination of your auto insurance premiums. Drivers with clean driving records are usually awarded lower rates. A clean driving record means that it is free of accidents and traffic violations such as speeding tickets. By practicing safe driving habits and avoiding getting pulled over you can help cut down on your premiums.
4.) Choose a Higher Deductible
Choosing a higher deductible can lower your insurance premiums. While you’ll pay more out of pocket in the event of a claim, the potential savings over time can make this a favorable financial choice for many drivers. A higher deductible is often advised for safe drivers who do not want to utilize their insurance policy for small claims and would rather save it to pay for large losses.
5.) Drive Less
If you don’t log a lot of miles behind the wheel, you may be eligible for a low-mileage discount from your insurance provider. Be sure to inquire about this potential discount if you’re an infrequent driver or have alternative transportation methods. Additionally, the less you drive the less exposure there is to an accident or loss.
6.) Drive a Safer Car
Safety features on cars can lead to lower insurance premiums. Vehicles equipped with anti-theft devices, airbags, and automatic seat belts are often eligible for discounts. When shopping for a new car, consider the impact that safety features may have on your insurance costs. Alternatively, some features car make cars more expensive to insure due to increased repair costs.
7.) Drive a Cheaper Car
If you are looking to save on auto insurance, driving a cheaper car is one of the best ways to achieve this. Regardless of your driving history, credit score, and other factors, a $100,000 car is always going to be more expensive to insure than a $25,000 car. The cost of the vehicle new is one of the key rating factors that insurance carriers use to determine premium. Furthermore, a base model is cheaper to insure than the top-of-the-line trim model. All of the bells and whistles that come with the top-of-the-line model add to the repair costs when the vehicle is in an accident. This drives your insurance premium up. For a list of the cheapest cars to insure in 2024, click here for more information.
8.) Take a Defensive Driving Course
Completing a defensive driving course can not only improve your skills behind the wheel but also qualify you for a discount with many insurance providers. These courses teach valuable techniques for avoiding accidents and may result in lower premiums. Some courses offered by insurance carriers directly lower your premium through discounts. Whether your carrier offers direct discounts or not, accident avoidance is still the best way to save money on car insurance.
9.) Maintain Good Credit
In many states, insurers use credit-based insurance scores to assess risk and determine premiums. By maintaining a good credit score, you may be able to secure lower insurance rates. Pay your bills on time, keep your credit card balances low, and monitor your credit report for inaccuracies to effectively manage your credit score.
10.) Review Your Auto Coverage Regularly
As your life circumstances change, so may your insurance needs too. Take the time to review your coverage annually to ensure you’re not paying for more coverage that you need. Adjust your policy as necessary to reflect changes in your driving habits, vehicle ownership, and financial situation. Asking yourself “does this fit my needs” is a good way to make sure your coverage aligns with your lifestyle. If you’d like one of our agents to review your coverage, visit our Contact Page to be put in touch with an agent.
Saving on Auto Insurance
Saving money on your auto insurance is usually something that is a long term goal. It is unlikely that your rates will be cut in half overnight, but by implementing these ten smart strategies you can start fighting inflation and lowering your rates. There are plenty of opportunities to save on auto insurance while still enjoying the peace of mind that comes with adequate coverage.
