Discount Auto Insurance: Best Ways to Find Cheap Rates

Our economy in the United States continues to struggle and only shows signs of slowly recovering. This has led many Americans to look for cheaper options when it comes to bills.

While car insurance is required by law, many people find themselves not being able to afford this necessary part of life. There is hope, as there are numerous ways that you can get a lower car insurance premium if you have the knowledge necessary to understand how the various auto insurance companies calculate their rates. Try our FREE quote generator by entering your ZIP!

Comparison Shop Online

Many people are under the impression that they are getting the lowest possible rates from a company that they have been with for a number of years. All of the advertisements that we see on television and in other media would have us believe that we are rewarded for our loyalty. This could not be farther from the truth.

It is not in an insurance company’s best interest to use their resources to get you the best possible rates. Statistically, people who have been with an insurer for years are likely to stay with them regardless of price.

The best way to make sure you are getting the best rate is by auto insurance comparison. These sites allow you to compare and contrast a number of big companies and their rates at the same time, letting you save the time it would take to call each one individually.

Calling the insurance companies individually to get quotes often takes up to 48 hours. Getting your rates online takes only minutes.

Easy Ways to Lower your Premiums

One of the simplest ways to lower your rates is by raising your deductibles. Statistics show that on average if you raise your deductible from $500 to $1,000 you can save about 35% on average. This method of saving money is best for those who drive safely, as it can be costly if you get in accidents on a regular basis.

• Another great way to get lower premiums is by cutting back on the amount of miles you drive every day. Consider using a bicycle or walking for shorter trips. Setting up a carpool for the daily ride to work is also a good idea.
• Let your insurance company know about any pertinent life changes you have gone through in the last couple of years. If you have been accident and moving violation free for a good period of time, tell them about it. If you recently got married you should let them know about this event, as married drivers statistically file fewer claims than single drivers do.
• Ask your company if you can combine your different types of auto insurance, because most companies give a large discount if you are willing to put your car, home, and other insurances together.
• If your car is getting older, you may want to think about getting less coverage. Find out how much your car is worth, and if the premium is above ten percent of the value of the car then you should lower your coverage.
• Surprisingly, most insurance companies have started to use your credit rating to determine your premium. This is because recent studies have shown that people with bad credit file more claims.
• This is often unfair, as even those with perfect driving records and bad credit scores are getting penalized by receiving higher rates. Check your scores every year and try to fix the errors that show up on your reports before getting your next car insurance quotes.
• If you have recent bad marks on your driving record, such as DUIs, accidents, or speeding tickets, you can get a lower rate by taking a defensive driving course.
• Installing a car alarm, or other anti-theft devices that make your car less likely to be stolen can get you a discount from most companies.

If you are in the market for a new car, then you need to do a little research to see which vehicle will get you affordable auto insurance. Sports and luxury cars are more expensive to cover because people are more prone to accidents and they are much more expensive to fix. Look for vehicles that are inexpensive to repair and are less popular among car thieves.

After comparing the rates in your area by using an online comparison site and then doing what you can to get lower rates by following the tips above, be sure to let your insurance company about all the different ways you have learned about that can help you get lower rates. Ask them if they have other discounts available, such as student or senior discounts. Make sure you do this every time your insurance is about to renew to ensure you get the lowest possible price. Enter your ZIP on our homepage to start comparing quotes today for FREE!

Final Thoughts

Getting low car insurance rates is not as difficult as it seems. Armed with a little bit of knowledge you should be able to get an affordable rate from a reputable company. Finally, do not fall into the trap of going with the first company you get a quote from. When using the online comparison tool, you will be very surprised by the differences in price from the various companies. Do not be discouraged by the initial rate quotes you get. After applying all the new information on discounts you will get a low rate.