In a struggling economy, people are looking for ways to cut expenses and save money. One of the easiest places to start cutting expenses is your car insurance. Do some research, and learn the ins and outs about how insurance companies charge their customers and what discounts they offer. Here are some tips for saving money on your car insurance.
Never buy insurance at the first car insurance company that you see in town. People that do that often end up paying several times more for their premiums. Talk with as many different agents as you possibly can.
The easiest way to get quotes from different insurance companies is to get online quotes. Find an online company that does not sell insurance, but that represents various car insurance companies. It is free, and all you have to do is fill in the form and answer a few questions. When you are finished, just click the mouse and relax. Within just a few minutes, you will have the lowest quotes possible from each of the different companies.
One of the reasons it is a good idea to get multiple online quotes is because the insurance companies represented by the site compete with each other to get your business. They will do everything possible to give you the lowest rates they can. Once you have the quotes, you can choose the company with the lowest rates.
Keep your credit score high. The reason this is so important is because the car insurance agent will check your credit report before he gives you a quote. If your credit score is low, the company just assumes that you are irresponsible and that you don’t pay your bills, making you a high risk for them to insure. As a result your premiums will be much higher.
On the other hand, if your credit score is high, the agent will assume that you are responsible, and the company believes that the responsibility you show on your credit report will follow over into the way you drive, and you will be a lower risk for them, resulting in lower premiums.
Drive cautiously, and keep your driving record clean. Agents will also check your driving record before they tell you what your rates will be. Just one traffic ticket or car accident can make your insurance rates sky rocket. On the other hand, if you have a clean driving record, you will qualify for the safe driver’s discount.
Choose a car that costs less to insure. The type of car you drive will influence how much you pay on insurance. By driving a family style, four door sedan type of car, you will be able to pay considerably less on your premiums. If you are planning to buy a new car, talk with your insurance company first to see what your car insurance rates will be.
Car insurance companies prefer cars that are several years old and that have as many safety features on them as possible. According to insureme.com, a good car should have seat belts for all of the passengers, front air bags, anti-lock brakes and electronic stability control. These things will protect the passengers in your car and make you less of a risk for the company.
Find out about all of the discounts that are available through your car insurance company. If you do not qualify for some of them, get busy and see what you can do to qualify when you renew your policy. Do everything possible to make yourself a low risk for the insurance company. By following these tips for saving money on your car insurance, you may be able to save several hundred dollars on your car insurance premiums.