Car insurance is a necessary expense for every car owner, but that doesn’t mean you should settle with high insurance premiums. There are specific steps to bring down the cost of your car insurance, and you should explore every possible opportunity for savings.
1. Shop around
If you are about to renew your policy, take the time to shop around competing insurance companies to check if others are offering lower premiums for your desired coverage. Obtain quotes and compare your options. You don’t have to stick with your company if a better deal is offered elsewhere. Just make sure to switch to a creditworthy company with an established reputation, track record, and financial status.
2. Reduce or drop coverage for aged cars
Cars tend to deteriorate over time. If you own a vehicle that’s several years old, it doesn’t make sense to still pay high premiums for it. Check your car’s value in Kelley Blue Book or have a car dealership appraise it. If you find that the car’s worth is 8-10 times the premium that you’re paying, then consider reducing the coverage or dropping it entirely.
3. Get other insurance policies from the same company
If you really like your car insurance company, consider getting other policies, like home and recreational vehicles insurance there as well to reduce your premiums. Most companies will give you discounts and savings by keeping your business, so it’s always worth looking into getting most or all of your policies from them, instead of separately.
4. Be a careful driver
Violations, speeding tickets, and other related data will show up in your record. If you have an almost stain-free driving record, chances are, your company will award you with lower premiums. With that said, practice defensive driving, follow speed limits and stay focused while driving. You’ll not only save yourself and others from an accident, but you’ll also save a couple more dollars back into your pocket.
Car insurance premiums get expensive over the years, but there are a couple of ways to reduce its sting on your budget. Follow these tips, and you could be saving a considerable amount on premiums each year.