Getting the best auto insurance rate can seem daunting. This is made even more difficult when you consider that many insurance agents are reluctant to offer information about the discounts and deductibles available to them.
Getting the best auto insurance rate, therefore, means arming yourself with the facts.
1) Compare premiums
The first thing to do is compare the premiums. Rates in your area may be different from place to place or agency to agency. Sure, they may not be substantially different, but even a percentage point or two can help save you quite a bit of money in the long run.
Visit the websites of different insurance companies and compare the rates they offer you. State insurance offices usually have price guides, but the categories used by the companies you’re considering may not match yours, so use a guide to discover the most profitable insurance agents in your area.
2) Family
If you have teenagers in your family, anyone under the age of 25 to be exact, handle them with care. Young drivers tend to pay more because they are prone to accidents. Once they hit 25, statistically this decreases.
That said, if you have children, encourage them to keep their grades up, at a B average or better, so they can get discounts on car insurance. Students can get between 5% and 25% savings. Also, if they complete approved driver’s education courses, they can get a deep discount.
Parents of students who spend part of each year at a school more than 100 miles from home and need the family car to do so may also be able to get reduced costs.
3) Careful driving
Children are not the only ones who need to be careful drivers on the road. Many insurance companies offer a 5% discount for anyone who maintains a clean record for three years in a row, and 10% for those who go six years with no accidents or violations.
You may even get discounts, depending on where you live, if you’re female and the only driver in the family, don’t smoke, are older, or have a specific profession that is statistically less accident-prone (usually law or medicine).
Other discounts can be earned by taking defensive driving courses, carpooling, or keeping low miles on your car. If you participate in a data tracking program, where insurance companies can monitor your driving habits, you can often get a discount for that, too.
All of these fees vary depending on where you are and the company you use. Also, you may not qualify for a discount one month and then qualify the next.
You need to stay on top of the insurance company and make sure you get the discounts you deserve, because they won’t be the ones telling you about ways you can save. Asking about these programs can only help you save, not hurt you. So call your agent today.