You can save money on auto insurance by shopping around, getting the right coverage, and reviewing your policy. Here’s how:
Find an Independent Agent
When it comes to finding the right independent agent, there are several factors you should consider. First, you should ask yourself if you want to deal with a large company or an individual insurance agent. Large companies offer more services than their smaller counterparts but may not be as personable or familiar with your area. But, small independent agents can provide personalized service at a lower price point. Still, they may not access the same resources or experience that larger firms have.
Next, look into how long your potential agent has been in business and ensure they are licensed and insured to work within your state’s regulations. Also, look for certifications that show expertise in property and casualty insurance (some states require this).
Finally, ensure that the agent is familiar with your area; this will help them understand where you live and what coverage options are available when shopping around for auto insurance.
Get the right auto insurance coverage.
The right coverage matches your needs and the risks you are willing to take. The insurance cost will vary depending on how much coverage you need, how old you are and where you live.
The first step in determining which type of auto insurance coverage is right for you is understanding what each type covers.
- Liability: This protects against damage from an accident you cause, but the coverage does not extend to your vehicle.
- Collision: This policy covers damages to your vehicle in the case of an accident. This coverage will pay for repairs if you are in a wreck and it is your fault. Yet, if someone else caused the accident and they have no insurance or inadequate insurance coverage, collision coverage may not be enough to cover the damage costs.
- Comprehensive: This policy covers damages that result from theft, vandalism, or any weather-related incident, but it may not cover damage caused by a collision.
- Uninsured/Underinsured Coverage: This coverage will pay for damages if you are in an accident with a driver who does not have enough insurance to cover the cost of repairs. This is a very important type of coverage because it can save you from financial ruin if someone else is at fault
Compare car insurance companies.
You can save money on your car insurance by comparing rates. The easiest way is to have an independent agency that knows the market. When you compare auto insurance quotes online, you should look at the company’s financial strength and client satisfaction ratings. You should also check how long they have been in business, how many policyholders they have, and what type of discounts are available to you.
You can get an auto insurance quote by phone or email, but it is best to get a free quote from several companies to compare them and choose the one with the best coverage for your needs.
Bundle home and auto policies.
Another way to save on auto insurance is to bundle home and auto policies. By bundling, you can save money and time and manage your insurance needs more. You’ll also be able to manage your risk better.
Bundling policies is a great way to save money because you can get discounts on your auto and home insurance premiums by combining them into one policy. This can also save you time (and hassle) when managing your insurance needs since you only need to deal with one company instead of two.
Review your auto policy.
- Review your policy.
- Check the coverage and limits.
- Check the deductibles.
- Review discounts you may be eligible for, such as good driver or multiple vehicle discounts.
- Review liability limits, and make sure they are adequate for your needs. If you have an umbrella insurance policy that covers damages over $1 million, check if your car insurance carries that amount of liability protection as well; otherwise, consider adding it separately.
Improve your credit.
A better credit score will reduce the cost of your car insurance.
You can improve your credit by:
- checking your credit report for errors, fraud, and identity theft
- paying bills on time
- reducing debt
- keeping a low balance on revolving accounts like credit cards
We hope this article has given you some new ideas for auto insurance savings. If you take a little time to review your policies and compare them with other companies, there’s a good chance that you could save hundreds of dollars each year in auto insurance savings.
Let us do the heavy lifting, contact us today and we’ll be right with you!
About the Author
Insurance Nerd. Former dolphin trainer: pretty much Aquaman. Current Master Falconer, proud husband, and father of two boys. Video games are an excellent way to spend free time. Disney is always a top choice for vacation. Born and raised on Lake Norman in Sherrills Ford, NC.
We’re excited about the insurance industry’s future and mitigating risk for you, your family, and your business. Whether it’s a personal risk or businesses that support the community, I’m always available to help you find what’s right for you.