Every car owner needs auto insurance, whether we think we do or not. No one can be certain that the other drivers that we share the road with are being as careful as we are. However, there are a few things you can do to keep the cost of your policy down a bit.
The first and most obvious way to minimize your auto insurance cost is to be a good driver and have a good record. Everyone knows that, right? But here are a few more that may help you out:
• Getting a new car? Before you buy it, whether it’s new or used, check out what the insurance cost is going to be. Auto insurance policies are based partly on the car’s sticker price, as well as the cost to repair it, its general safety record, and how likely it will be to get stolen.
• Ask for higher deductibles. Deductibles are what you pay before your insurance premium kicks in. When you ask for higher deductibles, you can lower your cost.
• Reduce coverage on older autos. You can consider opting out on collision and/or comprehensive coverage for older cars. If your car is worth less than 10 times the premium, getting that insurance may not be cost effective. If you’re not sure how much your car is worth, you can check online at Kelley’s Blue Book.
• Look into multi-policies. Lots of insurance companies or agencies will give you a discount if you “bundle” different types of coverage, or if you have more than one car insured with them.
• Check out an independent insurance agency. Independent insurance agencies, like HumphriesInsurance.com, work with multiple insurance carriers, so they can seek out the companies that will have the best prices for you. The other good thing about agencies are that they can “tailor” a policy for you.
• Maintain a good credit record. Establishing a solid credit history may cut your insurance costs, since insurers are increasingly using credit information to price auto insurance policies.
• Check out group insurance. Insurance companies sometimes offer discounts to car owners who get insurance through a group plan from their employers or business and alumni groups.
• Take advantage of low mileage discounts. Insurance companies sometimes offer discounts to car owners who drive a lower-than-average number of miles a year. Low mileage discounts can also apply to drivers who car pool to work.
Check into these different options for saving yourself money on your premium. They may be very helpful.