How to Get the Best Deal on Car Insurance

Car insurance is required by law, with the absolute minimum being liability coverage. With all the options available, figuring out what you need or what you can afford can be difficult. Here are a few tips on how to get the best deal on car insurance to help you save where it counts.

Different for Every Driver

The cost of car insurance differs for everyone because many factors influence the outcome. Where you live, the company, available discounts, and deductibles – they all affect what you will pay. Getting a new car or used car also makes a difference in your policy.

Some companies also offer good driver discounts and have devices you can add to your vehicle. These devices track your speed, acceleration, and braking. After connecting the device, it sends the information over to the insurance company and affects your rates. This way, you are more in control of your premiums because your driving habits directly affect your premiums.

Multi-policy Discounts

When you start trying to figure out how to save on car insurance, keep in mind that a single quote for one vehicle is often more than a quote for multiple vehicles. You should ask how much you would pay per car if you insured more than one to find out what kind of discount is offered. The more vehicles you add, the less you will pay for each one because the insurer will give you a bulk rate to earn your business.

You might also want to check into other insurance companies. Some, like Progressive, offer different bundles that include homeowner, boating, and car insurance for an even better deal. The bottom line is that you need to ask each company you contact about what bundles or discounts they offer for multiple policies.

Safe Driver Discounts

Accidents are becoming more commonplace, so saying you have not had one is appreciated by the insurance companies. By avoiding accidents and other driving violations, you will be able to keep your insurance premiums lower. Companies typically have a three-year or five-year period that they investigate before giving you that discount, so be honest with them upfront because they will be able to tell either way.

Defensive Driver Courses

Ask insurance companies if they are willing to give you a discount for taking a defensive driving course. Many will if you take an approved course. Verify with the company before you sign up because not all courses are acceptable. It is also a good idea to see what the savings are compared to the cost of the course because the price might not be worth the savings. As each state has different requirements, you need to make the call and ask.

How Far You Drive

Sometimes, mileage also plays a part in what you can expect to pay. Certain companies offer a usage-based program or pay-per-mile. You may not need to have expensive coverage for a car you only take out occasionally, and insurance companies recognize that. Additionally, companies like Allstate offer a pay-per-mile option if you drive less than 10,000 miles in any given year.

Compare Car Insurance Rates

Ideally, you want to compare car insurance rates when your current policy is about to renew to avoid cancellation penalties. If you have never had insurance or are between insurance coverage, shop around before choosing a company to get the best coverage for the rate. Remember, just because it is cheap, it does not make it better because, in some cases, cheap insurance can be a hassle to deal with.

To Wrap it Up

Car insurance is different for everyone because not all circumstances are the same. Multi-car discounts offer incentives where single car insurance discounts are different, too. Don’t forget that you can also get a better deal on car insurance if you are a safe driver and possibly willing to take a defensive driver course. Before deciding, always compare car insurance rates, so you’re comfortable knowing you’ve chosen the best deal for your situation.