Despite knowing how important car insurance is to protect one from financial liability, most people think of it as nothing but a huge pain. And rightfully so – car insurance premiums can be a considerable expense, no matter where in the US you live. Some states can be costly. For example, California car insurance rates are among the highest in the US.
However, there are ways you can bring down your premium. To get the best price on your car insurance, you can negotiate with the insurer, look for seasonal or telematics-based discounts, or consider bundling offers. Apart from these, you can also shop around for more affordable car insurance.
Let’s explore these and some more tips to get the best price on your car insurance.
Tips to Get the Best Price on Your Car Insurance
1. Enroll Multiple Drivers With the Same Company
Many insurance companies offer multi-car discounts. Here’s what this means: if you have a blood relative or a spouse who’s also seeking auto insurance, you can take them to the same insurance provider and ask for a discount on both your and your relative’s car insurance premiums.
Some insurance companies also offer such discounts for non-relatives, as long as you share the vehicle’s ownership.
Insurers offer these discounts because having more business benefits them. This may also lead them to offer you some discount on your car insurance if you subscribe to another insurance policy (such as property/fire/homeowner’s insurance) from their company. So if a provider already covers you, check to see if they offer vehicle insurance at a discount for existing customers.
2. Hunt for the Cheapest Car Insurance Company
When looking for car insurance, never select the first company you find. Charges between different companies can vary from tens to hundreds of dollars, and if money is a concern, you should look for cheaper providers. Also, if you’ve been on insurance for years and are seeing your existing provider’s premiums rising dramatically every year, you should look for a change.
For example, when looking for illinois car insurance companies, you’ll find that the average difference in cost between the cheapest and the most expensive provider will be around $300-400. So every 3-4 years, get car insurance premium quotes from various insurance companies.
Use the internet to search for cheap car insurance or consider researching average semi insurance rates for commercial truck insurance to get a sense of what to expect. Keep in mind that commercial truck insurance rates can vary greatly depending on factors such as the type of cargo being transported, the distance traveled, and the driver’s record. It’s important to weigh the cost of insurance against the potential risks and expenses associated with accidents or damages and to choose a policy that provides adequate coverage for your business needs.
3. Be a Good Driver
This goes without saying, even if you’re not particularly seeking cheap auto insurance. However, since your driving record significantly influences car insurance premiums, it becomes all the more important to be attentive while driving.
The more violations you have on the record, the higher your premiums will go. This is because insurers wouldn’t consider you safe and trustworthy.
Many companies will offer additional discounts for drivers with zero to no violations. These can be anywhere between 10-20%.
4. Look for Discounts
Many insurance companies will give you a sizeable discount on your auto insurance for the following reasons.
- If you pay your annual or six-month premium altogether
- If you bundle your car insurance with other insurance policies in the same company
- If you own a car with additional safety features, notably an anti-theft system
- If you subscribe to e-documentation for receipts, bills, etc.
- If you have a defensive driving training
- Have a good credit record
Check with your insurance company periodically to see if you’re eligible for any of those mentioned above or other types of discounts. If you’re lucky, you’ll end up saving hundreds of dollars.
The Bottom Line
With the tips listed above, you should be able to find an affordable auto insurance policy or bring the premiums down significantly. Remember, a crucial part of car insurance is your driving skills. So be attentive while driving and keep in mind all the road rules.
If you’re in a state where car insurance is expensive (California, for example), you should be even more careful about the company you choose.
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