How to Lower Your Monthly Car Insurance

Shop Around for the Best Rates

One of the best ways to lower your monthly car insurance costs is to shop around and get quotes from different providers. Every insurance company has different rates and policies, so it pays to do some research to find the best deal. Start by getting quotes from at least three different providers. Compare the rates and coverage to find the best option for you. It’s also a good idea to read customer reviews to get an idea of the customer service you can expect.

Raise Your Deductible

Raising your deductible is one of the easiest ways to lower your monthly car insurance payments. This is because a higher deductible means a lower premium. When you raise your deductible, you agree to pay more in the event of an accident or other incident. Depending on how much you raise your deductible, you can save anywhere from 10 to 40 percent on your premium. However, be sure to only raise your deductible if you can afford to pay the amount in case of an accident.

Take Advantage of Discounts

Most car insurance companies offer discounts to their customers, so be sure to take advantage of them. Common discounts include a good driver discount, a multi-car discount, and a student discount. Some companies also offer discounts for taking a driver safety course, for setting up automatic payments, or for having certain safety features on your car. Be sure to ask your provider what discounts are available and how you can take advantage of them.

Bundle Your Insurance

Another way to lower your monthly car insurance payments is to bundle your insurance with your home or other types of insurance. Many companies offer discounts for bundling policies, which can help you save a lot of money. For example, if you bundle your car insurance with your home insurance, you could get a discount of 10 to 15 percent. It’s also a good idea to ask your provider if they offer any other discounts for bundling policies.

Choose the Right Coverage

When it comes to car insurance, you don’t always need the most comprehensive coverage. While it’s important to have enough coverage to protect you in the event of an accident, you don’t need to pay for coverage that you don’t need. For example, if you have an older vehicle that isn’t worth much, it may not make sense to pay for comprehensive coverage. Talk to your provider about the different types of coverage available and choose the one that best meets your needs.

Pay Your Premiums Annually

Finally, another way to save money on your car insurance is to pay your premiums annually instead of monthly. Most insurance companies offer discounts for annual payments, so you could save anywhere from 5 to 15 percent. This can add up to a significant amount of money over the course of a year. However, be sure to only pay your premiums annually if you can afford to do so.