When you drive a car, you don't just have to pay for gas and maintenance; you are also responsible for paying an auto insurance bill every month. Even if you never end up using your policy, it sure does give you peace of mind. Car insurance can get pricey, especially if you own a newer vehicle. The good news is that raising your deductible is not the only way to get cheaper rates. Here are seven effective ways to lower our auto insurance rates:
Install Security Features
One way you can reduce your car insurance rates is to install security features in your car, such as anti-theft devices. For example, if you install a car alarm in your vehicle, it will deter thieves from stealing your car. If you car insurance company knows you are making an effort to prevent theft, they will be more willing to give you a discount.
Improve Your Credit Score
Your credit history can affect a lot of aspects of your life, including how much you pay for car insurance. It may not sound fair, but many insurance companies will check your credit score to see what kind of customer you will be. According to Consumer Reports, if you have a less than stellar credit score, your insurance company may assume you will file more claims and charge you more for car insurance. If you credit score is not very high right now, make an effort to increase it. Try to pay more of your debt down and never make late payments.
Choose the Right Vehicle
The type of car you drive can have big impact on your insurance rates. For example, if you drive around a fancy sports car, your insurance company may charge you more because this type of car is more likely to get stolen. It is wise to choose practical vehicle with a high safety rating. If the vehicle includes airbags, automatic seat belts and other safety features, it will lower your chances of getting into an accident.
Take a Defensive Driving Course
If you have speeding tickets on your driving record, your insurance company may believe you will make more claims and most likely increase your auto insurance rates. However, if you take a defensive driving course, you may be able to shave some points off your driving record, which can reduce your insurance premiums.
Drive Your Car Less Often
If it's feasible, you should try to drive your vehicle less often. The fewer miles you drive, the less likely you are to get into an accident. For example, you can consider carpooling a couple times every week. If your insurance company knows you are not using your vehicle as much, they will be more likely to lower your rates.
Don't Pay for More Coverage Than You Need
It's possible that you are paying for more coverage than you truly need. For example, if your car is pretty old, it is not necessary to carry collision and comprehensive coverage. Talk to your insurance agent about cutting out this coverage.
Ask About Other Discounts
There is no shame in asking your insurance agent about car insurance discounts you qualify for. For instance, if you have a teen driver in your household who has good grades,you may be able to get a discount.
As you can see, you do not have to pay through the roof for auto insurance. If you follow these helpful tips, you can reduce your car insurance premiums. However, if you are still not satisfied with the amount you're paying for coverage, talk to your insurance agent from a company like Matt Roenker Insurance Agency.
You keep a copy of your insurance policy in your file drawer, but do you know how to read and understand the policy? Having an insurance policy will protect you from losses, but it won't protect you from all losses. To get a better understanding of what your policy will and will not cover, read through this blog. You will learn about all different types of insurance policies and learn the terminology used in the documents that you have read. Hopefully, by the time you have read through the content here, you will know exactly where your insurance policies are lacking so you can make changes.