Get The Best Price on Auto Insurance
Vehicle insurance is not only a legal requirement, it is also necessary to protect you in the event of theft or an accident.
Still, it is a significant financial commitment. Here are some tips that can save you money when purchasing an insurance policy:
Pay attention to the local insurers
Over half of the entire auto insurance industry is controlled by just four conglomerates; State Farm, Progressive, Geico, and Allstate. However, a lot of people don’t know that smaller companies such as Erie Insurance and Auto-Owners Insurance have been able to get higher customer satisfaction ratings than the larger companies. Depending on your location, they can sometimes even offer lower rates than the big companies.
Always be on the lookout for discounts
There are a lot of discounts that are offered by insurance providers. If you meet any of the following requirements you may be eligible for a discount:
- You combine your car insurance with at least one other policy, such as renter’s insurance
- Have never had accidents
- Have more than one vehicle insured under a single policy
- You prefer to get your documents sent to you online
- Own vehicles that have certain safety or anti-theft features
- Make payments for your six-month or annual premium all at once
Don’t be fooled by the discounts available to you, however. It is still important to compare prices and deals to find the policy that gets you the best savings.
Make sure you don’t delay with the bills
You know all of those car insurance quotes you get? Well, your credit score is actually a significant factor in determining what rates are offered to you. Some states, such as Hawaii, California, and Massachusetts, don’t allow insurers to consider credit when deciding rates. However, insurers have pointed out that the credit of customers is one of the most significant factors in determining the probability that they will file claims.
It has been proven that driver’s with poor credit pay significantly more in car insurance then those with good credit. Essentially, if you can improve your credit you will be eligible for cheaper insurance, depending your driving record. Lowering your debt ratio and paying all of your bills on time will help get you there.
When buying a car, consider the insurance costs as well
When picking a car to buy, a lot of people tend to consider costs like the repair costs and fueling. However, you should also consider insurance premiums as well. Vehicles with the lowest rates include Jeep, Honda, and Subaru.
For an older car, opt out of some coverage
Collision coverage will pay to repair any damage done to your car as a result of colliding with something else. You also have comprehensive coverage, which pays for repairs due to weather, vandalism, fire, and more. If your car is old or it has a low value then it is in your best interest to lower the level of coverage.
