Are You Paying Too Much for Car Insurance? 8 Tips for Cheaper Insurance

You could be paying over the odds for your car insurance. There are multiple ways of securing cheaper auto insurance.

Here are eight tips you should check out.

1. Compare Different Insurance Quotes Online

If you’re worried that you’re paying too much for car insurance, one of the easiest ways of finding cheaper insurance is to compare different insurance quotes online.

When you use an excellent comparison site like CheapInsurance, you can quickly find cheap car insurance to suit your needs. Simply enter your zip code to get free quotes.

2. Maintain a Good Credit Score

Car insurance costs will differ from one person to another based on certain criteria. One important thing that insurance companies look at is your credit score.

When you establish and maintain a good credit score, you can significantly lower the cost of your car insurance.

In order to protect your credit standing, don’t get more credit than you need, keep your credit card balances low, and pay your bills on time.

3. Choose a Higher Deductible

Your deductible is the amount you pay before your insurance policy kicks in. By paying a higher deductible, you can substantially lower your car insurance costs.

For example, if you increase your deductible from $200 to $500, you could reduce your comprehensive and collision coverage by up to 30%.

However, if you choose a higher deductible, it’s important that you always have enough money saved up to cover the costs for things like car accidents, theft, and damage, should you have to make a claim.

4. Consider Your Insurance Needs if You Have an Older Car

Consider the worth of your car before you start searching for the lowest insurance quotes.

If your vehicle is worth less than ten times the amount of your insurance premium, it may not be cost-effective to purchase full coverage. If you have an older car, this could be a viable option.

5. Purchase Different Insurance Policies from the Same Insurance Company

If you purchase your car insurance and your homeowner insurance from the same insurer, you’ll probably be able to lower the overall cost in comparison to taking out the two policies with different insurance companies.

And if you stay with the same insurer for years, for both your policies, you could further reduce the costs over time.

6. Ask About Low Mileage Discounts

You should always ask potential insurance companies about discounts that are available. One discount that’s commonly available from an auto insurer is a mileage discount.

If you don’t clock up many miles, meaning that you drive less than the average number of miles per year, you could make significant savings.

7. Drive Safely

Insurance companies also offer discounts to drivers who always drive safely. The more cautious you are when driving, the more violations and accidents you can avoid. In turn, your car insurance rates can be reduced.

Typically, mindful drivers who avoid violations and accidents can receive discounts on their insurance policies of between 10% and 23%.

You could also reduce the cost of your auto insurance by taking a defensive driving course. Just make sure you’re able to receive a discount from your insurer before you sign up for a defensive driving course.

Also, the course you enroll in will usually need to be an accredited course in order to qualify for an insurance discount.

8. Consider Your Location

Finally, your location can make a significant difference in the amount of car insurance you pay.

While you probably won’t want to move states just to save money on your auto insurance, if you’re in the process of looking at different places to live, you may want to consider car insurance costs as part of the deliberation process.