Quick Ways to Save on Car Insurance
If you’re like most people, you don’t want to just throw away money that you don’t have to. Especially in the midst of an economic downturn, people are desperately looking for ways to cut back on their expenses. Some expenses you can drop, while others, like car insurance, are things you just need to have. Still, that doesn’t mean you need to pay too much for your car insurance.
If you want to save some cash and get lower car insurance quotes, here are a handful of steps you can take:
- Lower coverage for older vehicles. If you have an older car that’s paid off, you should make sure you’re not insuring it for more than what it’s worth. If you’re in an accident and the car is totaled, the insurance company isn’t going to pay more than the current market value of the car anyways.
- Consider getting rid of collision and comprehensive coverage. This is also a good move if you have an older car. You might be able to reduce your premiums by as much as 40%. The basic rule of thumb is that if your vehicle is worth less than ten times your annual premium, you should consider dropping collision and comprehensive.
- Raise your car insurance deductible. Going from $100 to $500 could save you a ton. The key here is being realistic about your current financial situation, and deciding whether you can come up with that $500 if you do have an accident.
- Get an insurance quote before you buy your new car. Make sure you know what you’re getting into. There’s more to think of than just your car loan. Your insurance rates could change dramatically, and you need to be prepared. Choosing the right car can mean lower insurance payments.
- Check into your insurance company’s discounts. Many insurance companies have discounts ranging from multiple vehicle discounts to multiple line discounts to safety belt use discounts. See what kinds of discounts your insurance company offers, and be sure to take advantage of those.