When it comes to auto insurance, a little comparison shopping could result in a savings of hundreds–and sometimes thousands–of dollars.
Following these guidelines can help reduce your auto insurance bill.
First, it pays to shop around. Instead of settling for the first quote you receive, do some comparison shopping, inquiring with at least three different insurers to get the best price–keeping in mind that the company’s customer satisfaction ratings and its overall reputation also count for a lot.
If you increase your deductible, you could also save on your premiums. The more you increase your deductible, the greater the savings you could achieve on your premium.
If you have an older car, you may not need collision or comprehensive coverage. As a general rule, it doesn’t make sense to buy comprehensive and collision coverage for a car worth less than $1,000, according to the Insurance Information Institute (III). If you don’t have an old car and, in fact, are buying a new vehicle, keep in mind that certain types of cars cost far more to insure than others. There’s big difference between the lofty insurance premiums you’re likely to face with a slick sports car as compared to the significantly lower rate that a small sport-utility vehicle (SUV) would command.
It also pays to shop around for different discounts, such as low-mileage discounts if you work at home or have a very short daily commute; car safety discounts if your vehicle has air bags, anti-lock brakes or a car alarm; good student discounts; marriage discounts; and more.
A clean driving record free of accidents, moving violations and claims; and a good credit history are other factors bound to work in your favor in your quest for a low auto insurance premium.
source: smarterlifestyles.com
