Did you know that around 12.6% of all drivers in the U.S. don’t have auto insurance?
People often drive without it because they can’t afford to buy it. Driving without it isn’t a smart move, though, as not only could it end up costing you big if something were to happen, its actually illegal in many states. Instead, you might want to find a policy you can afford.
You can also learn how to save on car insurance, so you’re not paying too much. If you’re interested in saving money on your car insurance, we have created this guide for you. It explains the best ways to save money on your insurance costs.
Compare Quotes from Several Companies
The first way to save money on your auto insurance is by picking an affordable car insurance plan. The best way is by comparing quotes from several companies.
You can request a quick or comprehensive quote from an insurance company. Requesting a comprehensive quote is the better choice, as it is a quote designed specifically for you and your needs.
When you get quotes from more than one company, you can see the cost differences. As you compare them, you may also want to note what those differences actually are.
One company might offer more affordable rates, but it might also offer less coverage. If possible, try to get quotes that offer the same coverage types and amounts.
You’ll have an easier time comparing them if they offer the same coverages.
At Harris Insurance, your one quote request allows us to shop all of our markets on your behalf. When you get your quote from us, we know it’s the best possible rate because we’ve already shopped and compared multiple markets.
Adjust Your Deductibles
Another way to save money is to adjust your deductibles. If you have collision insurance coverage, you’ll have a deductible. You might also have a deductible if you have comprehensive insurance.
Whenever you have an insurance deductible, you can save money by increasing it. A deductible represents the amount of money you’ll pay when filing a claim.
For example, if you have a $500 deductible, you’ll pay that amount before the insurance pays your claim. If you have a $1,000 deductible, you’ll pay that amount first.
You’ll qualify for insurance savings by increasing your deductible to a higher amount. The reason why is that your insurance company has lower risks of paying money for a claim with higher deductibles.
When insurance companies have lower risks with insuring a person, they decrease the costs.
If you decide to do this, make sure you have money on hand that you can use to pay your deductible, just in case you ever need to pay it.
Consider Dropping Some Coverage
The most affordable insurance policy you can buy is a liability-only plan. When you select a plan that only provides liability insurance, you can meet the legal requirements in your state.
Liability insurance covers the damages other cars and people encounter if you cause an accident. It doesn’t cover your vehicle, though. When you drop your coverage to liability-only, it will cost the least amount possible.
You might want to think twice before dropping your coverage to liability-only, however. You might need collision coverage, or you might want other coverage types.
You can talk to an insurance agent to learn more about the types of coverages you should have. You can also ask for the cost differences by adding or dropping specific types.
Take Advantage of Discounts
One of the best ways to cut your auto insurance costs is by taking advantage of the agency’s discounts. Any discount you are eligible for will provide money savings to you.
A common discount people qualify for is a low-mileage discount. If you don’t drive a lot, you might meet the requirements for this discount. If you do, your insurance company will provide a discount to you.
You might also qualify for many other discounts. For example, if your car has many safety features, they might provide a discount to you. If you take a driver’s course, you may also qualify for a discount.
You can discuss this with an insurance agent to learn about all the potential discounts they offer.
Bundle Your Policies
Bundling your policies is another avenue you can explore. Car insurance bundles always result in lower insurance costs. Bundling involves purchasing multiple insurance policies from the same company.
If you have homeowners insurance, your insurance company might lower your home insurance costs if you add an auto insurance policy to your plan. You could also get an additional discount on your auto insurance.
Insurance companies offer bundling discounts to encourage people to purchase all their insurance plans from them. When this occurs, the insurance company’s risk decreases.
When risk decreases for an insurance company, they offer lower rates to their customers. As you shop for auto insurance, keep this tip in mind, as it can result in saving a significant amount of money.
Avoid Accidents, Claims, and Tickets
Drivers with spotless records tend to get the best car insurance rates, but other factors also matter. Insurance companies factor in a person’s age, gender, marital status, and job type.
While these types of demographics can affect your rates, your driving record plays a larger role. Your driving record contains information about your accidents, claims, and tickets.
When you have these things on your record, they can cause an increase in your rates. When you have a clear record with no tickets, accidents, or claims, you’ll save money, which means you are less risky.
If you want to keep your rates as low as you can, you’ll need to focus on safe-driving habits to avoid accidents, claims, and tickets.
Save on Car Insurance by Following These Tips
If you want to save on car insurance, try using these tips. You shouldn’t overpay for your car insurance, but you should also never drive without it.
You can use all these tips to find the best policy, but if you need a place to start, give us a call or start your quote online with Harris Insurance. We’d be glad to offer you a quote for your auto insurance and other insurance products you need.
LEGAL DISCLAIMER
Views expressed here do not constitute legal advice. The information contained herein is for general guidance of matter only and not for the purpose of providing legal advice. Discussion of insurance policy language is descriptive only. Every policy has different policy language. Coverage afforded under any insurance policy issued is subject to individual policy terms and conditions. Please refer to your policy for the actual language.
