5 Ways to Save Money On Car Insurance
Car insurance can be costly, but it isn’t an expense you can skip out on.
19:04 11 June 2020
Most states require car insurance, although the minimum amount required by states varies. Luckily, there isn’t a set-in-stone price for all car insurance, and there are ways you can save money on your policy.
In this article, we’ll discuss a few different ways you can save money on your auto insurance policy. Keep reading to learn what these ways are.
Get multiple quotes
When it comes to auto insurance quotes, don’t place all your eggs in one basket. You’re allowed to gather quotes from multiple car insurance companies to determine which policy works best for you. If you’re looking to find the cheapest policy -- or even one that isn’t cheap but isn’t the most expensive -- you’re able to do so. By doing this, you’ll be able to have a full understanding of prices and how much money you’re saving.
Don’t be a reckless driver
Once you’re insured, do not be a reckless driver. Not only does driving recklessly endanger the lives of other drivers, but it can also increase your auto insurance payments. One accident can raise your auto insurance policy by hundreds of dollars if you are found to be at fault. The actual amount your auto insurance policy rates will increase, however, is mostly determined by the severity of the accident, your driving history, and the details of your policy.
Ask about potential discounts
Some auto insurance policies offer a variety of discountsa. Some discounts are based on your driving habits, while others are based on your personal status. Driving habit discounts can include:
- Safe driving discounts
- Low mileage discounts
- Accident-free discounts
Other discounts, which can be based on your status, can include:
- Student discounts
- Military discounts
- Senior discounts
To learn more about the discounts your auto insurance policy may offer, contact a representative.
Don’t drive an expensive car
If you truly want to save as much money on your car insurance policy, don’t drive a nice car. Essentially, the more it costs to replace a car and the parts inside, the more the insurance company will charge you for your insurance.
Keep a good credit score
Your credit score is a major factor in auto insurance companies determining your insurance costs. Those with poor credit scores will pay a much higher 6-month premium than those with great credit scores. In order to save money on your policy, try to keep a good credit score or practice good money habits to raise your credit score.
These are just a few ways you can pay lower auto insurance premiums. In the end, the best way to do this is to be a safe driver, be diligent with your finances, and take advantage of any discounts you can get. But, even if you want to save money on car insurance, don’t skimp out on your own coverage. If you get the bare minimum in coverage, future accidents may end up costing you more money than if you had better coverage to begin with. Now, enjoy your savings!