Car insurance is an essential expense for most drivers, but it can also be very expensive. The average American driver pays $1,553 per year for car insurance, according to a recent study by Insure.com. However, there are a number of things you can do to find cheap car insurance.
Here are some additional tips for finding cheap car insurance:
- Consider usage-based insurance. Usage-based insurance, also known as pay-per-mile insurance, is a type of insurance that tracks your driving habits and rewards you for safe driving. If you drive less or more safely, you’ll pay less for insurance. Usage-based insurance can be a great option for drivers who don’t drive a lot or who are very safe drivers.
- Shop around for insurance every year. Your car insurance rates can change from year to year, so it’s important to shop around and compare quotes from multiple insurers every year. You can use an online insurance comparison tool to get quotes from multiple insurers at once.
- Bundle your insurance policies. Many insurers offer discounts to customers who bundle multiple insurance policies, such as car insurance and homeowners insurance. If you have multiple insurance policies, be sure to ask about bundling discounts.
- Take advantage of discounts. Insurers offer a variety of discounts, such as discounts for good driving records, safety features on your car, and student discounts. Be sure to ask about all of the discounts you may be eligible for.
- Raise your deductible. The deductible is the amount you have to pay out of pocket before your insurance kicks in. If you raise your deductible, your premium will go down. However, it’s important to make sure you can afford to pay your deductible if you file a claim.
- Improve your credit score. Insurers use your credit score to help determine your rates. A good credit score can save you hundreds of dollars a year on car insurance. You can improve your credit score by paying your bills on time and keeping your credit utilization low.
- Consider driving a safer car. Insurers charge higher rates for cars that are more likely to be in accidents or stolen. If you’re looking for a new car, be sure to consider safety ratings and insurance costs.
- Avoid traffic violations. Traffic tickets and accidents can cause your insurance rates to go up. Be sure to drive safely and obey all traffic laws to keep your insurance rates low.
Here are some additional tips that may help you find cheaper car insurance:
- Ask about group discounts. Many employers, professional organizations, and other groups offer discounts on car insurance to their members. Be sure to ask about group discounts if you’re a member of any groups.
- Negotiate with your insurer. If you’ve been a customer of your insurer for a long time or have a good driving record, you may be able to negotiate a lower rate. Don’t be afraid to ask your insurer for a discount.
- File your claims wisely. If you do have to file a claim, be sure to file it with the right insurer and only file for claims that are truly necessary. Filing too many claims can cause your rates to go up.
By following these tips, you can find cheap car insurance and save money on your driving costs.