The search for an affordable car insurance quote can take time and patience. Even though your search may be frustrating, don’t give up. If you don’t try to get a lower quote, you’ll end up paying more for your car insurance than you need to. Before you settle on a new policy, try a few simple tricks to lower your car insurance rates.
Don’t settle for the first quote you receive from an insurance company. Shopping around can help you find big savings. Many major insurance companies offer free quotes on their websites. You can also call local insurance agents for additional information and quotes. Consult at least three different companies before you make your final selection.
Check Your Credit Report
Insurance companies consider your credit report when calculating your quote. A poor credit report could significantly impact the quotes that you receive. Check your credit report regularly to look for errors that could bring your credit score down. If you find an error, contact the credit bureaus to fix your report. Be sure to work on building positive credit by paying down your debts and practicing good financial habits.
Upgrade Your Vehicle
Before you start shopping for quotes, consider adding a few minor upgrades to your car. For example, a car alarm can reduce your risk of theft. For a major discount, consider installing a GPS tracking device, such as LoJack. If you’re in the market for a new vehicle, choose a safe and dependable vehicle instead of a flashy sports car or a massive SUV. Safe and sensible vehicles are cheaper to insure.
Ask about Discounts
If you talk to an insurance agent on the phone, ask about any available discounts. Insurance companies offer a wide selection of discounts, including good student discounts, senior discounts, and more. Additionally, many car insurance companies offer other types of insurance, including homeowners’ insurance. Most companies will give you a significant discount on all of your insurance policies if you bundle them together. Some car insurance companies also offer a lower rate if you agree to take a defensive driving course. If you belong to certain organizations, including alumni groups and credit unions, you may qualify for additional discounts.
Reduce Your Coverage
If you are willing to eliminate some coverage options from your policy, you can get a lower quote. For example, if you drive an older car, you may want to pass on getting expensive coverage options, such as comprehensive insurance. You can also eliminate perks from your insurance policy, such as roadside assistance or rental car coverage.
Change Your Commute
During the quote process, car insurance companies will usually ask you how much you drive each day. If you find a car insurance company that offers a discount if you only drive a few miles a day, consider changing your daily commute. Try taking the bus, carpooling or biking to work to help you save money on insurance.