12 Ways to Save on Car Insurance

Definitely get auto insurance, so your car doesn’t end up looking like this.

I think most of us are still in the mode of saving money any way we can. The one thing we haven’t addressed for over a year is our car insurance.

Let me back up first. We had USAA car insurance over a year ago. They were so affordable, no one could even touch their rates.  My daughter began driving. She had taken the courses, got good grades and was a girl. Three things in her favor, but our rates went through the roof. I called several times and was assured there was nothing they could do.

Finally I began the search for a new company, and to my surprise I found someone who could knock off $800 a year.  Looking for car insurance quotes? Check out insurance.com and esurance.com. Both of these have car insurance quotes online.

Many people told us to keep a high deductible. Ours was $500 because there was no difference between it and the next level. With our new insurance there was no difference between $250 and $500. That was a no brainer.

We had our daughter take drivers ed, which also lowers the cost of your insurance.

Another great benefit with the new company was to pay in full. By doing so we saved 10%. This year I am paying in full in 2 payments, 6 months apart.

The final step we are taking is getting rid of our big and sporty cars. We have a Durango and an SRT8 Charger. Believe it or not, the Durango costs more to insure, and that was the case with both companies we have had.

We are downsizing both cars, looking forward to better gas mileage and lower insurance rates.

One car is going to be a “kid” car. Nice thing is we probably will just have liability on it, again dropping that rate again. Not sure if you should drop your collision?  Check the value of your car here.

I know it’s hard at times to keep up with all the little ways to save money. But if it’s tight for you, the research will be worth it. Whenever it renews you should ask if there are any new discounts like ::

  • Good driver discount
  • Good credit discount
  • Safety feature discount
  • Adding your house and cars to the same policy
  • Low mileage driver discount

If none of those things save you money you might want to try getting married. Yep statistics show that married people have lower accident rates.

Check around for auto insurance rates and quotes, because paying extra is a, Not4This, expense you shouldn’t be paying for.

photo courtesy of JoePhoto @flickr.com

Linked to Frugal Friday

Comments

  1. These are great tips! In order to keep costs down I’ve switched from State Farm to Allstate and vice versa – when I notice our rates start to go up. :)

  2. It is also pretty important to shop around for insurance every year or so given most insurers’s agents have to meet certain sales goals and can get pretty aggressive with discounts as their evaluation period comes to a close.

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