Finding cheap car insurance is not difficult. There are certainly ways to find lower rates and it all depends upon your decisions and lifestyle as well.
Decision, Decision, Decision
You can save a bundle by following some simple steps.
Consider raising your deductible. Your "deductible" is the amount that you have to pay when you make a claim before your insurance coverage "begins". For instance, if you have a $200 deductible and a $2,500 claim, you'll pay the first $200 and your insurance carrier pays the next $2,300. Raising your deductible amount means that when you do make a claim, you'll have to ante more of your money. The advantage to you in raising your deductible is that your insurance premium will go down by as much as 20% to 30% on the comprehensive and collision coverage part of your policy. In this way, safe drivers
can save a pretty considerable amount of money. Some safe drivers who don't get involved in auto accidents do end up overpaying their insurance premiums. But right now, if you're a safe driver, you can get cheap auto insurance by raising your deductible.
Drop the comprehensive and/or collision coverage on older cars. The rule
of thumb is that if your car is worth less than $1,000, you should no longer carry those coverage because you probably pay more deductible and premium than what the car is worth. This way you can get cheap car insurance. Consult the Kerry Blue Book or Edmunds.com
to determine your car's value.
Get a "lower profile" vehicle. The type of car you own, in part determines what your insurance costs are. Some autos are stolen more often than others and some cost more to repair after an accident. Ultimately, these autos are more expensive to insure. The kind of car you drive can have a big effect on your insurance costs. High profile cars (this means both sporty coupes and popular cars preferred by thieves, like Accords) will earn higher premiums than lower profile sedans and station wagons. So remember that cheap car insurance can come with the kind of car that you drive.
New and expensive cars mean higher collision and comprehensive premiums. Driving an older model can lower your car insurance premium by quite a bit. It's all a matter of preference. Sports car is the rage of the moment and there's no harm in driving one if you can afford the accompanying high insurance premiums but to get cheap car insurance, we sometimes have to alter our preferences.
Before you move, determine out the cost of auto insurance coverage where you're planning on moving to. Believe it or not, the rates vary from place to place, even in your own area.
Drive less and drive more safely. Insurance companies always offer safe
driver incentives, which can mean a big auto insurance discount. Drivers with no points in the last three years qualify for much lower car insurance rates. Having cheap car insurance depends a lot on your choices behind the wheel. There's good reason for this. For every speeding ticket you get within one year, your chances of being at fault in a motor vehicle rise dramatically. (We're talking almost 100% per ticket.) So slow down! The less you drive the less you pay, too. If you can carpool or use public transit to and from work, your rate will go down. Lower your mileage and you'll lower your premium.
If you have kids who drive, it might be harder to have
cheap car insurance
. But teenage drivers
who are good students, or who drive older model cars, may earn you an auto insurance discount. And college kids who attend school more than 100 miles away from home might qualify too.