Being frugal with your money today is a real necessity. With money being harder to come by, you do not want to pay more than what is necessary for your auto insurance. More importantly, though, is that there are some excellent ways that you can reduce your car insurance costs. Here are seven ways that you can cut down on your car insurance rates and save money.
1. Buy a Car That Is not in Demand by Thieves
Certain cars have the distinct privilege of being one of the cars that are on the thieves' Top Ten list for stealing. Those are the cars that you want to avoid. Talk to your insurance agent about which cars are on the list, or search online for them yourself. Because they are hot – auto insurance rates are higher for those models.
2. Take a Driver's Education Course
A driver's education course is an easy way to get discount auto insurance. If you have not had one yet, be sure to take one soon, and get a percentage of your insurance rates removed.
3. Add Security Devices
Insurance companies love good security devices on cars. Good ones slow down or even discourage a car thief and this makes your car a safer risk for your insurer. For greater reductions in your insurance rates, you may want to add some security devices to your car – even if you already have one. Talk to your agent first, however, to learn which devices are best and which ones will give you the best discounts.
4. Increase Your Deductible Amounts
Most people have a rather low deductible on their car insurance. By raising it up to $ 1,000 or more, you can reduce your monthly insurance rates considerably. In fact, raising your deductible could give you a sizable decrease in your auto insurance costs, but be sure that you can come up with the deductible amount if you need to.
5. Have Multiple Policies with Same Insurer
Insurers reward people that have more than one insurance policy with the same company by giving them a discount. This could be with either multiple vehicles or with different types of policies, such as a homeowner's and a car insurance policy. By combining your policies under the same insurer, you could see a reduction in the cost of your auto insurance coverage.
6. Improve Your Credit Score
Your credit score may have more to do with high insurance rates than you may think. By improving your credit score and keeping it in good shape, you may actually be able to get lower rates.
7. Pay Premiums Quarterly or Annually
Another way to save money and reduce your insurance rates is to pay quarterly or semi-annually. Because insurance companies charge for the processing, being billed 12 times each year means that you are paying a three to five extra dollars each month. Paying your car insurance once a year will give you even greater savings.
You can get affordable car insurance by working to get some of these seven steps to save money. While you may not be able to get all of them, some of them may apply. Talk to your auto insurance agent and see what additional discounts you can get.
