Car insurance is a necessity no matter where one lives, but that does not mean that full price has to be paid for it. Indeed, there are a number of creative and practical ways that the average car owner can significantly reduce their car insurance premiums. The following five tips will help the savvy car driver find cheap car insurance rates.
Most auto insurance companies offer a number of different discounts that their customers can take advantage of. Some of these include being a safe driver, driving a vehicle that has certain safety features, driving under a certain number of miles each year and being a loyal customer typically this discount kicks in after a person has been insured with a company for a certain number of months or years. While some of these discounts are automatic, car owners might also need to ask so they can take advantage of cheap car insurance rates.
Insuring more than one car or purchasing more than one type of insurance, such as homeowners or renters insurance affords many car owners with deep discounts that could save them hundreds of dollars every year. The beauty of bundling insurances with the same company is that consumers often see discounts applied to all of the insurances they purchase.
Paying an car insurance premium in one lump sum could be a strain to the pocketbook at that time. In the long run, though, it can save car owners a significant amount of money. This is because auto insurance companies apply a fee in order for consumers to enjoy the convenience of paying their premiums on a monthly or quarterly basis. While the fee could seem small at the time $7 per month is pretty typical as of this writing over the course of a year, this can add up to nearly a hundred dollars.
The deductible that amount that the consumer is responsible for paying before their car insurance kicks in can make a huge difference in the cost of the policy. A lower deductible equates to a higher insurance premium while a higher deductible is a great way to get cheap car insurance rates.
The most common way for car owners to save on their premiums and find cheap car insurance rates is to shop around. Car insurance companies count on their customers becoming complacent and not shopping around for better rates. While it can take some time to check different premiums charged by other insurance companies that offer coverage in a given area, this is time well spent. It could save consumers hundreds of dollars each year with just a few minutes of research each day.
Car insurance is mandatory. High auto insurance premiums are not. By implementing just a few of the above tips, consumers can expect to find cheap car insurance rates.