Ways to Save on Your Auto Insurance
Posted by: Kyle Dean | December 18, 2012
Many factors play a part in determining your auto insurance rate, including age, type of vehicle, driving record, marital status, claim history and the region in which you live. Although some factors are out of your control, you can take steps to ensure the best possible rate. Consider the following top eight tips for saving on your auto insurance.
- Communicate effectively. Communicate well with your agent about each vehicle and its purpose. A vehicle that is used only certain times of the year or simply as a leisure car will cost less than your primary automobile.
- Drive safe. Drivers with excellent records are rewarded with lower rates. Traffic violations will increase your rate. Never drive drunk. In addition to the obvious dangers, a DUI will affect your rates for many years. When searching for a vehicle, look for ones with additional safety features, low occurrences of theft and lower accident rates, all statistics that will help you pay less.
- Select a cheaper payment method. Many insurance companies will discount your rate if you pay all at once or have monthly payments automatically deducted from your bank account.
- Combine policies. Discounts are usually provided if you insure more than one vehicle or include other forms of insurance, such as homeowner's or renter's insurance, with the same company.
- Maintain good credit. A good credit score implies you are a responsible person and translates into being viewed as a "low risk" driver, lowering your rates.
- Re-evaluate your circumstances. Our needs evolve over time. Examine your policy each year to see if less or more coverage is needed, based on the value of your vehicle and your personal liabilities.
- Inquire about additional discounts. Many discounts are available for employees of certain companies, graduates or students of certain universities or members of specific organizations.
- Avoid costly mistakes. Going with the absolute cheapest policy available may not save you in the long run. You could end up with a heavy financial burden in the event of an accident, due to the lack of coverage under a "cheap" policy. Another costly mistake is letting your policy lapse. You'll most likely experience a rate increase when you reinstate your policy. Plus, you risk having an accident while uninsured, resulting in financial loss and legal implications.
Contact us to find out your auto insurance rate.