5 Ways to Save on Car Insurance

Picture: Illustration save car insurance

Saving on car insurance is a great way to improve spending power, and there are several tips that make it easy to get a more affordable policy. The insurance industry is incredibly competitive.

The high number of providers allows drivers to pick and choose policies, and many firms have a number of discount programs. Discounts for bundled policies, multiple drivers and safer vehicles can be as high as 20 percent.

Shopping around is another great way to find a more affordable car insurance policy as there is a large variability between the prices that particular firms charge.

Getting at least three quotes is recommended, and Internet search sites facilitate the comparison shopping process. Because safe cars are cheaper to insure, a new vehicle purchase can allow a lot of savings.

Deductibles are another way for drivers to tweak their policy to find the most affordable choice. Policies that have higher deductibles have lower monthly premiums.

Read Also: How to Save on Car Insurance in Your Area!

Here are five of the top ways to save on car insurance. The 5 ways to save on car Insurance:

1. Shopping around:

The automobile insurance industry is highly competitive, and different providers offer a range of prices. Consumers can benefit from the competition and save big on car insurance, but it is essential to shop around.

State laws require insurance agents of the same provider to charge the same monthly premium on their same policies. Thus, for the most savings, consumers need to check with agents of different insurance companies.

Getting three or more quotes is recommended and is the best way for drivers to take advantage of the insurance industry’s competitive nature. The Internet makes this process easy, and several search sites put drivers in touch with several agents in a matter of minutes.

2. Bundling policies:

Insurance agents usually offer a full range of services. Home, life, health and car insurance are just a few of the standard policies. Buying insurance for more than one need allows consumers to save money.

Most insurance agents are more than happy to provide a discount to clients who purchase multiple policies from them. The savings can be as high as 15 percent or more, but it is essential to talk with agents.

Not every agent offers discounts, and the amount of savings varies between providers as well. To find the best bundled policies, consumers can benefit from the Internet and search sites.

3. Buying a safe car:

Today’s vehicles are engineered for safety, and some models are much more reliable than others. They are involved in fewer accidents because they include a number of mechanical advantages. Anti-lock brakes are just one way that a car manufacturer ensures that drivers are as safe as possible.

Air bags are common on most vehicles these days, and insurance agents offer savings that are up to 10 percent for cars that have this type of protection. Because safer cars lead to fewer injuries, they are cheaper to insure.

For this reason, new cars have cheaper premiums than older cars. Consumers can ask their insurance agent for recommendations, and shopping for a new car is a great way to save money on an insurance policy and drive in style.

4. Safe driving courses and other discounts:

Insurance agents may offer a number of discounts to drivers who take safe driving courses. These classes are mandated for some young drivers, but adults can also take the class to save money.

Because not every agent offers discounts for classes, it is essential to ask a particular provider about what is available. Insuring more than one driver on a policy is another great way to get a lower premium, and most parents keep their children on their plan.

When a son or daughter goes away to college, he or she may be eligible for a rate reduction. To achieve this type of college discount, students need to leave their car at home. Many first-year university students are required to do this, and their parents can save money.

5. Increasing your deductible:

The deductible is the amount of money that must be paid out of pocket during a claim. The insurance company picks up the rest of the tab, and high deductibles are a great way to save money. Raising the deductible allows savings that can be as high as 40 percent.

Because high deductibles may not cover small damages, it is important to consider all of the ramifications. Broken windshields, scratched paint and minor body damage may not be covered by policies that have high deductibles.

Drivers who have a tendency to get in accidents may also want to keep their deductible as low as possible. The amount of a deductible is up to a driver and can range from $200 to more than $1000.

An insurance policy that has a $1000 deductible may be as much as 40 percent cheaper than a policy that has a $200 deductible.

Saving on car insurance is easier than ever, and there are a few tips to keep in mind. Shopping around is one of the best ways to save money because it takes advantage of the competition that distinguishes the insurance industry.

Drivers can reduce the cost of their policy up to 20 percent just by shopping around. Bundling policies is another way to find a more affordable insurance plan.

Getting home, health and life insurance from the same firm allows discounts, and insuring multiple drivers on a single policy is another way to bundle policies. Buying a new car that features air bags and other safety measures is another way to improve spending power.

Deductibles are a variable component of a policy that can be adjusted higher or lower. Higher deductibles cost more out of pocket, but their monthly insurance premiums are cheaper. (*)