It’s often said you get what you pay for, but that doesn’t have to be the case when looking for cheap car insurance. You can get the coverage you want and need without breaking the bank if you shop smart. Use the tips below to get cheap auto insurance that is also a quality choice for your needs.
6 Steps To Finding Cheap Car Insurance
- First, you need to decide what you need. Are you insuring a new car? Are you looking to just get enough coverage to satisfy your state minimums? Are you looking for ways to decrease the cost of a policy you currently have?
- Make sure you know what your state minimums for insurance are. Many states have recently changed what minimum coverage you have to carry.
- Shop around. Contact at least three different auto insurance companies and compare policies. If you need help doing this you can enlist the help of an independent insurance agent. Using an independent agent will cost you nothing and it won’t raise your rates.
- Consider the insurance company. Do a bit of research on the company. Check their financial rating with A.M. Best, find out how quickly they pay claims and if any complaints have been filed against them. You can check information like that by contacting the Better Business Bureau and your state Department of Insurance.
- Ask a lot of questions. Don’t be afraid to ask questions of your insurance agent. That is what they are there for. For example, find out how claims are processed before you need to file one. If they are hesitant to answer your questions move on.
- Ask you friends and relatives who they use. There is no better advertising than word of mouth. These are the people that will let you know right away if there is something about their insurance company that they don’t like.
Cheap Car Insurance – Determining Premiums
A number of things affect the premium you will pay. Some of these things you have control over, some of them you don’t.
- Your driving record. This includes accidents and moving violations. The better your driving record the better your rates.
- Your credit score. Some states are trying to pass legislation to prevent insurance companies from using your credit score when determining rates. The theory is the lower your credit score, the more likely you are to file a claim. This means higher rates.
- Your age, gender and marital status. Unmarried males under the age of 25 have been deemed the highest group to insure.
- Where you live. If you live in an urban area you will pay more for your insurance than if you live in a rural area. Urban areas tend to have more accident, theft and vandalism claims.
- Your car. Is it a new car or a favorite model of auto thieves?
- How often do you drive your car? The more mileage you put on it the greater chance that you will be in an auto accident. This means higher rates. Everyone jokes about the little old lady who only drove her car on Sundays to church. It wasn’t because she was old, it was because she was cheap.
Cheap Auto Insurance – Saving Money On Your Premiums
If you have an older car it may not be cost effective to carry full comprehensive coverage on it. Insurance companies pay out what is called a blue book value when a car is totaled. It could cost you more in the long run to carry full comprehensive insurance on a vehicle that you will only get $1000 for if written off due to an accident.
Look for discounts. A lot of times insurance companies will give you discounts if you have more than one policy with them. You can also save money if you put all your vehicles on the same policy. Discounts are also available for things such as GPS systems and anti-theft devices as well as certain safety features like air bags and anti-lock breaks.
Many insurance companies will offer discounts if you have taken a defensive driver course or are a student with a B average or better. Also, if you have a young adult on your policy that has gone off to college, check with your insurance company about rate changes. Many times you can save money just because your child isn’t driving your car without totally dropping them from the policy.
Compare Cheap Auto Insurance Quotes Now!
Use our simple tool at the top of the page to start your search for the cheapest auto insurance with free quotes from reputable insurance companies. Why not start saving money on your auto insurance bill now?