How to Save on Car Insurance
Nearly everything seems to be going up in price these days. Many people can't keep up with the current inflation rates, from food to homes to cars. In fact, the average new automobile costs over $36,800 in the United States. Most people can't afford new vehicles. Then there is auto insurance coverage, which is mandatory in all but one state. Rates have increased in the past few years due to several factors, including more distracted driver accidents.
Currently, the average cost of insuring a car is about $1,525 per year. With high rates, many people cannot afford to insure their automobiles and drive uninsured. Other people end up getting plans that leave them underinsured. Let's look at how to save on car insurance to get better coverage at lower rates.
Get Better Coverage for Less
If you are serious about lowering your premiums, then you need to make a plan and take advantage of these proven strategies below. Here are five tips that can make auto insurance more affordable for you.
- Get a Car that's Cheap to Insure. This sounds like common sense, but many people with limited funds buy cars based on emotion. They don't really know if they can afford the coverage or not. Some of the cheapest cars to insure are Subaru and Jeep Cherokee. Other cars with lower rates are used in Toyota Camry and most used SUVs. The trick is getting a car insurance estimate before buying a car. Use the free tool at Unique Insurance and get a fast, free estimate. This will give you a quick glance at average rates for a particular model, and then you can see if it fits in your budget on not. Some cars that you might think are cheap to insure cost more than the national average, like Honda Civics and Accords. This is because these cars are on the top 10 most stolen vehicles list almost every year. Getting a car with lower average premiums just takes a bit of research on your part.
- Maintain a Clean Driving Record. This is common sense, but many people get way too many tickets and then end up paying a lot for coverage. Maintain a clean, safe driving record, and watch your rates decrease. If you do have outstanding tickets, pay them off and, if possible, go to traffic school so the points don't go on your permanent driving record. Contact the DMV online and check your driving record.
- Drive Less and Save More on Car Insurance. Did you know that you can save 20% or more off your monthly premiums by driving less than 800 miles? This is called the low mileage discount. Insurers offer this because they know the less you are on the road, the less likely you will get into a wreck. Several new insurers, like Metro mile, offer "pay as you go insurance" plans. This might be the best option for those who only drive a few miles a day.
- Get a higher Deductible. Many people don't even realize that a high deductible can save them some serious money. Raising your deductible to $1,000 or more can save you 25% off your auto insurance premium. You have total control over this and will instantly lock in a lower rate. It's important to remember you need to set aside the deductible amount in the unfortunate event you get into a wreck and file a claim. Your insurance claim does not kick in until you make the full deductible payment.
- Compare Multiple Car Insurance Quotes. With the power of the internet, comparing quotes is easier today than ever before. You can quickly compare up to ten quotes online at sites like Unique Insurance in a few minutes. Some of the best deals, with very cheap car insurance with no deposit, can be found on the web. Direct insurers have rates that are often hundreds of less than traditional insurers like Farmers and Allstate. Once you have reviewed 10 or more quotes, select the best company with the lowest rates. You can even buy your policy online and print out all your required information. That's a lot easier than waiting around in an insurance office.
You really have more control over your insurance rates than you think if you apply these five tips. Now that you know how to save on auto insurance, it's time to compare direct quotes online. Enter your zip code and start reviewing the cheapest rates in minutes.