Auto insurance is one of the biggest costs faced by anybody who drives a vehicle. The good news is that there are several ways to reduce the cost of your auto insurance policy, with the best strategy being to have a good driving record. Drivers who are safe on the road and do not have a history of being involved in collisions or driving dangerously will always enjoy lower insurance costs compared to those who do. But other than safe driving, what can do you do reduce what you pay?
Auto insurance prices can vary a lot from company to company, so don’t just stick with the first one that you know. It can really pay off to shop around and get a number of price quotes to figure out the cheapest option available to you. There are various comparison sites that you can use to figure out which companies have the best offers based on your specific situation; all you need to do is enter details about yourself and your vehicle to bring up a list of different quotes. You can also call auto insurance companies directly for a quote or visit their website.
Avoid any Surprises:
If you are in the market for a new car, it’s best to check insurance costs before you make the purchase. Your car insurance premiums will be partly based on the price, condition, and safety of the car that you drive, along with its risk of theft based on national and local statistics. That’s why it’s a good idea to get insurance quotes on any cars that you are thinking about buying before you make your decision. Buying a car that you love without checking insurance costs might end up being a more expensive move than you realized.
Raise Your Deductible:
The deductible is the amount that you will pay in the event of a claim before your policy covers you. Setting your deductible to as high as you can afford can lower the cost of your insurance premiums substantially. For example, raising your deductible to $500 instead of $200 could reduce the cost of your comprehensive and collision coverage by 15-30% over the year. If you can afford to do so, setting your deductible at $1,000 or more could see your policy cost reduced by a huge 40%.
There are many benefits of driving less including lower carbon emissions and more physical exercise. And when it comes to your wallet, driving less and taking alternative methods of transport like walking or cycling wherever you can, will also help you save more money. Along with the amount that you will save on gas when you don’t drive, many insurers also offer low mileage discounts to drivers who don’t reach the average number of miles per year. If you don’t use your car very often or plan to walk more instead of driving, it might be worth checking if your insurer offers this.
Auto insurance can be one of the biggest expenses when it comes to getting on the road, but it’s essential to have. Thankfully, these tips can help you stay covered while cutting the costs.