Cheap Auto Insurance Tips and Suggestions

It pays to do your homework and find the best car insurance company for your individual situation.

The following tips can help you find the lowest possible rate that fits your insurance needs.

Remember, low price alone does not make it a good deal. always check out the track record of the company before buying a policy.

  1. GET INSURANCE QUOTES BEFORE YOU BUY A VEHICLE - the cost of car insurance can vary wildly from one vehicle model to the next. If you are in the market for a new or used car, narrow down your list to your top few choices, then get quotes on each of these vehicles. This can save you thousands of dollars over the course of owning the car.
  2. GET MANY QUOTES - in this era of quick, easy online auto insurance quotes, there is no excuse not to shop around and find the lowest prices. Given the often huge discrepancy in pricing between insurance companies, this can often be the single most important step in finding cheap car insurance.
  3. GET A MULTIPLE POLICY DISCOUNT - if you have homeowners insurance, you can get an often substantial discount buy purchasing your car insurance through the same company. In order to get the lowest possible total price, get combined auto insurance and homeowners quotes from multiple companies.
  4. MAINTAIN GOOD CREDIT - many insurance companies give lower rates to people with good credit. Therefore, you can save quite a bit from good credit on car insurance alone. If you have a lot of debt and you are worried that you might fall behind on your payments, you can learn about credit card debt reduction here.
  5. RAISE YOUR DEDUCTIBLES - a deductible is the amount you must pay out of pocket before your insurance kicks in. Often lower deductibles, such as a $250 deductible, have significantly higher annual premiums than $500, $750 or $1,000 deductible plans. It simply doesn't make sense to pay something in the range of $300 more each year to lower your deductible by $500 or $750.
  6. MAINTAIN A GOOD DRIVING RECORD - good driver discounts can be substantial. Avoiding getting points on your driving record can save you hundreds or even thousands a year. If you should get an occasional ticket, it is worth it to attend traffic school if it is offered in your state, in exchange for removing the point from your record. In addition, some insurers offer discounts to people who take driver safety or defensive driving courses.
  7. ASK ABOUT GOOD STUDENT DISCOUNTS - many insurance companies offer additional discounts to students who are on the school honor roll at their high school or college. If you have young drivers on your policy, this can offer substantial savings.

Remember, a large number of discounts does not necessarily equate to a good deal. Some companies offer few discounts, yet they have lower bottom line pricing. Compare the final prices of the quotes you receive to figure out which is truly the best bargain.