How To Save Money on Car Insurance
Looking for ways to save money on car insurance? In the United States, anyone who drives is required to carry auto insurance coverage, making it all too important to learn how to save money with the cheapest car insurance. Whether it’s comparing online quotes to find cheap rates, cutting extra coverage, or switching to a better car insurance company, saving money on auto insurance premiums shouldn’t be so difficult.
Here are 10 ways to get the lowest auto insurance rates in 2019 without sacrificing coverage, reducing policy limits or increasing your deductible.
Keep A Clean Driving History
Drivers who want the cheapest car insurance quotes must keep their driving records clean. Drivers with no accidents, moving violations, tickets, or citations on their records will always get the best rates. Many insurers offer safe driver discounts to drivers that have maintained a clean record for at least 3 to 5 years. Ultimately, practicing safe driving habits and avoiding the classification of being a “high risk” or bad driver is the best way to save money on coverage.
Snapshot Discounts
A newcomer to the insurance industry, the snapshot discount uses satellite technology to track certain aspects of a driver’s habits, such as miles driven, time of day and number of hard brakes. The insured driver installs a device provided by the insurer in their car and your vehicle reports the information to the insurance company.
While a snapshot discount is not something you can rely on when shopping for car insurance, drivers can receive up to a 25% discount on car insurance rates after 30 days of purchase. Almost all auto insurance companies are now offering Snapshot Discounts, so comparing auto insurance quotes online, and then calling the best insurance company to negotiate your rates is your best bet to finding the cheapest rates.
Multi-Policy and Multi-Car Discounts
Drivers who buy other types of insurance such as homeowner’s, renters, health or term life insurance may be eligible for multi-policy or bundling discounts from insurers. Many insurance companies offer discounts of up to 25% on each additional policy purchased from them.
By having one company fill all your insurance needs, such as home, life and auto insurance, drivers not only save money on their car insurance rates, but save money on their other insurance policies too. Bundling discounts on each policy should be considered when comparing quotes online and almost every insurance company offers this discount, as well as additional auto insurance discounts.
Earn A Defensive Driving Discount
Several states require that car insurance companies provide discounts for up to 3 years for drivers who complete a defensive driving course. These driver education courses are available online for as little as $30 and take about 8 hours to complete, but can save you close to 10% on premiums.
Even in states that do not mandate the discount, many insurance companies offer it voluntarily. The auto insurance discount is open to drivers of any age regardless of their driving record. Defensive driving courses are one of the easiest and surest ways to get the lowest rates.
Apply For Teen Driver Discounts
Teen drivers who maintain a GPA of at least 3.0 and have good school attendance may be eligible for “Good Student Discounts” on their car insurance. There are also discounts for teens who complete and pass a driver education class either at school or through a private driving school. Additional discounts may be offered for students who have a job or do community volunteer work that show responsible behavior.
Safety Features Save Money
Cars with safety features get cheaper car insurance quotes because many auto insurers offer discounts for anti-theft devices, alarm systems, anti-lock brakes, collision avoidance systems, rear view cameras and other add-ons that make your car safer. Furthermore, car make and models which pass the Insurance Institute for Highway Safety tests get lower rates than models which fail to pass these tests.
The logic is that these safety features and equipment make the car safer, thereby reducing damage and repair costs as well as minimizing medical expenses. Simply put, try to pick a car with an excellent safety record.
Women Drivers
Despite the jokes, women drivers are statistically safer. Female drivers generally have fewer accidents and traffic violations than men, leading to the cheapest premiums. To take advantage of this, some families put the most expensive car in the wife’s or mother’s name, making her the primary driver on the policy. Since online rate quotes are free, families can try requesting quotes for both a man and woman as the primary driver to compare the price difference.
Membership May Have Privileges
Discounts on auto insurance may be available to members of auto clubs, professional associations, organizations like the AARP, or even your employer. These groups negotiate special prices for their members with major car insurance companies. Some credit card companies may also provide special insurance discounts to their members.
Discounts For Advance Payment
The easiest way to save money on car insurance is to pay the full amount for the policy up front. Coverage with no down payment or monthly payments may have finance charges that increase the cost of your policy. Instead, auto insurers offer discounts for drivers that pay for a 6, 12 or 18 month policy.
Get Cheap Auto Insurance Quotes Online
Even drivers with less than perfect driving records can save money on car insurance by taking advantage of all the discounts for which they qualify. Otherwise, the simplest way to get cheap car insurance is to research and compare companies, rates, and types of coverage.
The auto insurance industry is incredibly competitive, and carriers are constantly trying to undercut each other’s prices to get new customers, so completing a car insurance comparison is ultimately the best way to make sure you are paying the lowest premiums.
