The economy is presenting many with financial challenges and one of the things that many people are doing is looking at ways to save money on monthly or quarterly expenses. One of the expenses that can be reviewed is car insurance costs. There may be opportunities to slash car insurance costs that can help lower premiums.. Here are five ways to slash car insurance costs:
Increase the deductible – For those who currently have a low deductible, consider increasing this amount. The higher the deductible amount, the lower the premium cost. Be sure to evaluate the difference this type of decrease will make to the premium payment and ensure that a higher deductible will not create a financial strain in the event of an accident.
Install anti-theft devices – New cars are often sold with anti-theft devices already installed. For those who are driving an older model that did not come with an anti-theft device, consider purchasing one. Once an insurance company has proof of an anti-theft device in the vehicle they will review the auto insurance policy for potential savings.
Ask about discounts – Contacting insurance agents and find out what discounts might be available can be beneficial. Auto policy owners may be surprised at the number that are available. Those who have a teen driver on a policy may be eligible for a “good grades” student discount. Other discounts may include (but are not limited to) telecommuting discounts, carpooling discounts, and more. Do not overlook multiple car discounts and also discounts that might be available for those who insure their car (or multiple cars) with the same insurance company that handles their homeowners (or renters) insurance and life insurance.
Check your collision insurance – Unless owners have a car that is less than five years old, they may want to consider dropping collision insurance. If the state allows the waiver of collision insurance and the car is paid for, consumers may be spending additional money in premiums unnecessarily.
Shop around – Insurance companies are in business to make money. However, different companies offer different discounts. Policyholders should consider shopping around to find out which insurance company can help them slash car insurance rates.
When reviewing a budget and determining there is a need to save money, these five ways to slash car insurance costs can help. Before making the decision to take any of the recommended steps make sure that a thorough review of the impact they will have on ones overall financial status. Saving money monthly is important but removing coverage to save money should not adversely impact ones financial future.