How To Save On Auto Insurance

How To Save On Auto Insurance

If you already own a car, then I’m pretty sure you know just how expensive getting your car insured can be. In fact, according to the AAA, a medium sedan can set you back an average of $1,106 yearly to insure. So don’t be surprised if you pay more for your car insurance each year than you do for maintenance or even tires. That aside, there are lots of different factors that can determine how much you pay for your car insurance. This might include factors that are beyond your control such as your location, job, age or gender. However, the good news is that there are several factors that you can control in order to get the best possible deal. Keep reading as we take you through some helpful tips to help you save on auto insurance.

1. Do Your Research
If you think you’re paying over the top with your current insurance company, you might be right. This is because different auto insurers offer different policy rates, so it pays to carry out proper research. The best thing to do is to get at least three actual quotes from three different companies. And apart from good prices, ensure that the company you finally settle for is good to work with in case of an accident or any other problem. We suggest you ask for recommendations from friends and relatives based on their past experiences. Also, you can check the insurer’s satisfaction ratings from sites such as J.D. Power or Better Business Bureau.
2. Check Your Credit Score
One of the best ways to save a few bucks on your car insurance is maintaining a good credit score. That said, most vehicle insurance companies will be keen to know more about your credit history before calculating the policy premiums. To be on the safe side, you can try ensuring that all your credit card and loan payments are made on time. In addition, make sure that your credit card balance is always below the set credit limit.
3. Take Defensive Driving Class
If your car insurance provider is genuine, you’ll definitely get monthly discounts after completing and showing proof of attending defensive driving class. This is arguably the quickest and the simplest way to save up to $100 on auto insurance or even more. Apart from helping you save money, those defensive driving classes can also be a life-saver in case of an accident. You’ll be taught how to react and avoid certain high-risk situations. So why shouldn’t you take up this simple course that will help you save money every year?
4. Raise Your Deductible
This is also another easy way to lower your monthly premiums. Moving forward, the deductible is the total amount you’ll have to pay to cover for losses before your insurer approves the claim. Therefore, if you increase your deductible, the insurer will definitely reduce the premium costs. Another thing, if you have a good driving record and haven’t claimed for any accident before, setting a higher deductible is a sure way to save on car insurance.
5. Choose Your Car Wisely
Sure, that your expensive shiny sports car is very nice, but it comes with additional thousands of dollars in monthly premiums. This is because the cost incurred from stealing or accident of an expensive car is more than that of most moderately priced models. Obviously, pricier cars will cost more in terms of repairs and spare parts. So it’s crucial to check for different car model insurance rates before buying one.
Summary
To sum it up, your car is an expensive investment that is certainly worth getting insured. You don’t have to break the bank to get the best auto insurance. Simply follow the aforementioned tips to save the most on your coverage minus sacrificing the policy’s quality.