Whether or not you think owning an auto insurance policy is an unnecessary expense, it is
one of the best investments you can make for yourself and your car. If money is an issue,
you shouldn’t worry. Not all auto insurance policies are expensive.
Moreover, you can significantly cut the costs of your auto insurance by following the tips
outlined below. After all, who doesn’t want to save some extra money?
What’s the Cost of Auto Insurance?
If you’re not aware, auto insurance premiums are increasing at a fast rate. According to Nerd
Wallet’s analysis of auto insurance rates, the average cost of full auto insurance coverage in
the US is around $1,592 per year. That’s about $133 a month. And if you’re shopping for a
minimum auto insurance policy, the national average cost is $565.
However, it’s important to note that the auto insurance rate you’ll pay is dependent on
several factors, such as your driving history, your credit score, and your place of residence.
Here are a few steps you can take to save on auto insurance:
1. Ask for Multi-Car Insurance Policy
If you own several vehicles garaged at the same address, then you qualify for a multi-car
policy when you insure them with the same insurance provider. The benefit of multi-car
insurance policies is that they offer discounts, making them significantly cheaper than filing
separately for each vehicle.
For example, if you and your spouse each own a car covered by car insurance from the
same company, then you qualify for a multi-car discount. The same also applies if your
teenage child owns a car. However, they have to prove they are good students to qualify for
the good student discount.
2. Take Advantage of Bundling Insurance Policies
Before committing to an insurance company, you need to ask if they offer discounts when
you purchase several of their insurance policies. For example, you could opt to purchase
their home insurance policy, life insurance policy, and auto insurance policy.
If you do, you could end up qualifying for a discount which you can apply on your auto
insurance policy to reduce your annual premium.
3. Look For Better Insurance Rates
What’s your car insurance premium today? If you think it’s high and you’re about to renew
your policy, then we recommend you shop around for a better car insurance provider. Ask
for quotes from other competing insurance providers. You might find an insurance provider
with lower premiums and better coverage.
However, remember that cheap isn’t always good. The financial muscle of an insurance
provider is also important. So make sure that the insurance provider you choose can pay an
insurance claim if you file for one.
4. Drop Coverage You Don’t Need
Sometimes insurance providers include items you might not need that will end up increasing
your auto insurance premium.
For example, you might find that the insurance policy you’re about to purchase includes car
rental coverage and roadside assistance. These are items that you might not need, and it
would be better for you if you had them removed.
5. Be a Better and Safe Driver
We mentioned that one of the determinants of your car insurance rates is your driving
history. In an era where the rate of car accidents is high, safe drivers are in demand. So if
you’re the type of driver who pays keen attention as you drive, you’ll be able to avoid car
accidents and road violations.
And as a result, you’ll be eligible for safe driver discounts, which are usually between the
range of 10% to 23%.
6. Improve Your Credit Score
It may surprise you when your insurance provider informs you that your credit score will be
used to determine your auto insurance premiums. However, it’s for a good reason. There is
reason to believe that individuals with great credit scores are responsible people in life. And
as a result, it can be assumed that they are less likely to file for insurance claims.
Whether this assumption is true or not, you should try to keep your credit scores as high as
possible since they play a significant role in determining your premiums.
7. Try to Remain Claim-Free
Drivers who have remained claim-free for the past several years are attractive to insurance
providers. So, if you happen to be a driver in this category, you should take full advantage of
your status and request a discount.
Your insurance provider will want to retain you as a client and is likely to honor your request
and offer you a discount.
8. Avoid Monthly Payments
It has become a tradition for many companies across different industries to offer their
customer base discounts if they pay for services in full or in two six-month installments. The
same case applies to insurance providers.
Check whether your insurance provider offers discounts when you avoid monthly payments.
On top of that, you’ll also avoid the additional charges involved with monthly payments.
9. Increase Your Deductibles
Generally, the higher your deductibles, the lower your auto insurance premium will be.
However, you should always make sure to check whether your deductibles can impact your
We recommend that you carefully consider your options before deciding to increase your
deductibles. And this is because in case you’re involved in an accident, you’ll have to pay
that deductible from your pocket.
Therefore, we recommend that you only consider this option if you’re a safe driver and have
a healthy amount of savings in your emergency savings fund.
10. Talk to Your Insurance Agent
This tip is a no-brainer. An insurance agent with your best interests at heart will inform you of
any other discounts you can take advantage of that we haven’t featured on our list. They
could also alert you to any special offers or discounts available to members of unique groups
such as military personnel. The advice and insight an insurance agent offers are invaluable
since they save you time and money.
So, if you have any further questions about auto insurance policies and their rates, visit our
website via this link https://sanangelo-insurance.com/ and get in touch with us.
San Angelo Insurance
1102 N Chadbourne
San Angelo Texas 76903
Find us on Social Media