Best Auto Insurance Tips

Paying for auto insurance is a drag, but what’s even worse is not having it when you need it, not to mention, it’s required by law in all fifty states. So, with that being said, let’s focus on how to pay the least amount of money for your auto insurance.

The easiest way to reduce your monthly premium is to only carry the coverages you need. For instance, it doesn’t make a whole lot of sense to pay for rental car reimbursement if you have another vehicle you can drive while yours is in the shop. Also, why pay for towing if you already pay for AAA. Its little things like this that adds to your premium unnecessarily. If you think that you may be paying for coverage you don’t need, contact your insurance agent or company and look over everything you have. You might be surprised to find that there are several things you can remove that you’ll never even miss.

The next easiest method for reducing your premium is to look at discounts. You might think that you’re getting all the discounts you are eligible for, but you might be surprised to find that there may be a few that you’ve missed. You are probably already taking advantage of the more common ones like multiple vehicles, multiple policy, good student, good driver, etc., but did you know that you could get a discount for getting older? How about for long term customers? Did you know that you could get a discount for installing an anti theft device or by driving fewer miles? Lastly, take a driver’s safety course. It’s easy, it’s fun and it can be worth its weight in gold in insurance discounts.

Try bumping up your deductibles on vehicles that are not currently financed. By upping your deductible from $500 to $1000 you stand to save an average of $600-$1200 per year. Some companies do not offer as large a discount for raising your deductibles, though, so make sure that this makes sense before you change it. You don’t want to be stuck with a large out of pocket expense if you won’t see the difference on the other side.
Lastly, don’t be afraid to comparison shop. Even if you have no intention of switching insurance companies, if you take a quote from another provider with you to your next renewal and prove that you can get a better rate with someone else, you insurance company will probably feel compelled to match it, especially if you are a good, long time customer. The insurance industry is highly competitive and companies will work hard to get and keep your business.

Employing these strategies will not only help you when it comes time to pay your premiums, but goes a long way to establishing an open, honest relationship with your insurance company. Having this relationship with your insurer will go a long way when it comes to having to file a claim, which is what its all about in the end anyway.