As cliché as it may sound, there are many steps you can take to save hundreds of dollars on your car insurance. In fact, many people are surprised to learn that this is a simple process. Upon realizing just how much they can save, they look back and wonder why they had been paying so much for so many years.
Are you ready to get started? Here are three things you can do to save big:
1. Increase Your Deductible
This is by far one of the best ways to quickly lower your car insurance premium. Unless you currently have the highest deductible allowed by your insurance company, you are automatically qualified to make this move.
For a better idea of just how much you can save, contact your agent and ask them to provide you with quotes for varying deductible levels. Keep in mind that raising your collision deductible will likely save you more money than simply raising your comprehensive deductible.
2. Search for More Discounts
It is safe to assume that you are presently receiving at least one discount off the cost of your policy. But does this mean that you are getting all of the discounts that you qualify for?
To ensure that you are saving as much as possible, discuss your policy in detail with your agent. Ask them to explain which discounts are currently applied to your account, and from there, request that he or she review your policy for any others that you may qualify for. You may be surprised at how many discounts your agent discovers.
3. Threaten to Switch Insurance Providers
Do you really want to resort to this tactic? Well, it all depends on how badly you want to save money. Your car insurance agent never wants to hear that you are considering switching to another company because their rates are too high.
You should not be rude to your agent – just make sure you are clear that your current premium is too high. You may be surprised at how quickly your agent brainstorm sways to save you money.
If you really want to improve your chance of getting a better deal, present your current company with a quote from a competitor. This way, you can have concrete proof that better rates can be found, and that making a change will allow you to save money.
Final Thoughts
Car insurance is a necessary expense, but this doesn’t mean you can’t find ways to save as much money as possible. If there is any way to save money on your premium, you should strongly consider it. With the help of the tips above, you may be able to save hundreds of dollars immediately.
What other ways can you suggest to save money on car insurance?
Sometimes a college student can save on car insurance if attending a college in an state/region with less expensive rates that his/her original home area. By becoming a full time resident of the college area, the student can get cheaper rates when registering a car there versus their original home area.
Haha! I love number 3 – so true!
Great post, I did 1 and 2 last year and reduced my premium by 30 bucks a month.
How about just becoming a safe driver? Drivers with no accidents and/or tickets have the lowest insurance premiums ever. I pay for two 3-year old cars full coverage $500 deductible – $450/6 month. Can anyone beat me on that one?
P.S. If you are a home owner and combine your car and home insurance policies, you can get an even better rate!
We have been with AAA for ever. They are very good about disclosing all the possible ways to reduce car insurance premiums. We have been saving all along because they are so upfront about this. A year or so ago I shopped around and I was pleasantly surprised to find out that no other company beat the rates we were paying.
I just increased my Deductible to $750 and changed my insurance on my vehicle that was paid off last year to collision only. Everyone should remember to include uninsured motorist coverage if you have full coverage or collision because your company might not pay if the other guy that hits you isn’t insured.
Basically all we did was increase our deductible. Also sometimes it just depends on the type of car you drive and distance. Our Volvo gets a better rate then other cars we have driven in the past.
Buying the best and cheapest car insurance policy is not hard to find. All articles like this will teach the car owners on how to maximize their budget in buying car insurance policy. I recommend 4-insure because of their expertise in providing budget friendly car insurance.
All human actions have one or more of these seven causes: chance, nature, compulsion, habit, reason, passion, and desire.
The first point is one of the most important points. I always tell people that if they will just put the money the save each month (from lowering their deductible) into a savings account, they will have plenty of money to pay the higher deductible and it won’t take long to get it!