Car insurance rates are on the rise across the U.S. to the dismay of driver’s already fed up with the seemingly unnecessarily large amounts they already spend to insure their vehicles. Required by law by most drivers, liability car insurance provides financial protection for driver’s involved in an accident at an average cost just under $1000 per year. Sadly, many drivers pay far more than this average amount, particularly those living in states like California and New York. There is hope for drivers, however, as there are many ways to save money on the costs of your auto insurance policy.
The easiest way to keep costs of your auto insurance to a minimum is to compare companies and policies before you sign on the dotted line. Do you want state-required coverage only or do you need optional coverage as well? Is there a company you prefer more than the next? Free estimates help you compare rates after you understand your needs for auto insurance. Request these estimates and compare rates to find those most compatible with your knees. Many online tools are also available that help you compare auto insurance rates.
Vehicle insurance discounts are generally offered by auto insurance providers. If you aren’t offered these discounts initially, don’t hesitate to ask for them. Discounted coverage reduces the amount that you pay for insurance each month. If you play your cards right, it is possible to cut your insurance premiums by as much as 30%! Discounts like safe driver discounts, loyal customer discounts, multi-policy and multi-driver discounts, and many other incentives are available to help drivers keep their costs low. Don’t purchase a policy before taking advantage of the discounts!
Although the above tips provide the biggest and best car insurance savings, there are a few more steps that you can take to ensure you get the lowest possible rates for the coverage that you need. This includes:
– Avoid cars on the ‘frequently stolen’ list as well as luxury cars and larger SUVs, since they’re most expensive to insure. Honda is frequently among the manufacturers included on this list of vehicles.
– Maintain a safe driving record. This is obviously important since injuries and damages aren’t the things we usually want in life. However, maintaining a safe driving record is important when it is time to insure your vehicle, too, since accidents and tickets cause points to be added to your driving record, thus increasing rates of coverage.
– Check your credit report often and look at your credit score, too. Report any inaccuracies on your credit report and work on cleaning up any overdue bills that show on the report. Most insurance agencies use your credit score to determine the costs of your policy. The higher your credit score, the lower your insurance rates.
Saving on car insurance is something that most drivers desire and it is easy when you use the information above to your advantage. Car insurance costs shouldn’t put you into debt and when you use every technique possible to keep costs low, that is the least of your worries.