Reducing your Auto Insurance Premium

Auto insurance is one those necessary evils that we have to face. Although everyone has to have auto insurance to legally drive, there are several ways to reduce the amount that you spend for auto insurance.

One way to lower your auto insurance premium is to check your policy to make sure that you are not paying for coverage you don’t need. For example, if you purchased your car when it was new and it is now several years old, you may be paying more than necessary for part of your premium. Banks and lien holders require that you provide insurance that will cover the cost of the vehicle in case it is totaled. If you no longer have a lien or note on the vehicle, you can probably save a significant amount by eliminating that part of the premium.

Additionally, you can opt to raise the deductibles on your current policy. This also can save a large portion of your premium.

Once you have looked at your current insurance policy and have determined how much you can save on your policy with your current insurer, it is time to compare their rates with those of other companies.

When trying to find less expensive auto insurance, check with any professional or travel clubs to which you belong. For example, the teachers group to which I belong partners with a leading nationwide insurance company to provide reduced rates for its members. If you belong to any such organizations, log onto their website or call them to see if these types of benefits are offered.

A simple internet search can also offer many less expensive options for reducing insurance premiums, plus you can find these options while you sit in your pajamas and have your morning coffee. By typing in a search such as “auto insurance premium comparison”, you can access multiple sites that will find auto insurance quotes based on your location, car make and model, driving record, etc. You will need some basic information to acquire rates from these sites just as you would when calling your neighborhood insurance agency. Be sure you know the year, make, and model of your car as well as information relating to previous claims or tickets.

By using the internet and looking at your current policy to ensure that major changes have not been overlooked, you could net significant savings on your auto insurance. I am sure that you can find better places to spend your money!