Saving Money on Car Insurance

(Photo credit: West Midlands Police)

One of the largest expenses any family has is auto insurance and finding ways to save money on that expense is important. With a little time and work you can find lots of ways to save on auto insurance.

One of the easiest ways to save money on car insurance is by just shopping around. Comparing prices at a couple of different car insurance companies will help you see if you are paying to much for insurance. You will notice that rates vary between different insurance companies a great deal. A few factors in how much you pay is your age and gender, plus you driving record. Usually, males will pay more than females, and younger drivers will pay more than older ones.

After finding a great rate for you car insurance ask your agent if they have any discounts for bundling all your insurance policies together. Many auto insurance companies offer a discount to customers who have multiple vehicles. Think about switching your homeowner’s, life, or renter’s insurance to the same company. Huge discounts can be had when you give an insurance company all your business.

Raising your deductible is another way to save some money on car insurance. If you have a deductible of $250, it’s to low, think about raising it to a deductible between $500 to $ 1,000. Raising your deductible reduces the liability the insurance company has thus you will make a smaller payment. With the higher deductible more of the insurance liability falls on you. Be sure you have the money in savings to cover the amount of the deductible.

Currently, auto insurance companies are offering discounts to customers who regularly wear their seatbelt, install a car alarm system, have airbags in their car, change their oil regularly, and are considered by their state to be good drivers. Remember that discounts can vary a lot between companies. There are also discounts offered for personal behaviors such as having good grades, not driving at night, and not drinking.