How to Save on Car Insurance
Nearly everything seems to be going up in price these days. From food to homes to cars, many people can't keep up with the current rates of inflation. 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 crept up the past few years due to a number of factors, including more distracted driver accidents.
Currently, the average cost of insuring a car is about $1,525 per year. With rates that high, many people cannot afford to insure their automobile and end up driving uninsured. Other people end up getting plans that leave them under-insured. Let's look at how to save on car insurance, so you can 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 a lot of people that have limited funds, just 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's and Jeep Cherokee's. Other cars that have lower rates are used in Toyota Camry's and most used SUVs. The trick is to get a car insurance estimate before you decide on 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 that has lower average premiums just takes a bit of research on your part.
- Maintain a Clean Driving Record. This is common sense but a lot of 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 go down. 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 premiums each year by driving less than 800 miles per month? 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. There are also several new insurers, like Metro mile, that offer "pay as you go insurance" plans. For those that only drive a few miles a day, this might be the best option.
- 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. This is something you have total control over 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. At sites like Unique Insurance, you can quickly compare up to ten quotes online 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, then select the best company that has 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.