The Shabana Motors Auto Blog - Expert Tips On Cars & Credit

Cut Coverage Costs: How to Save on Car Insurance

Written by Jeff Martin | Sun, Jan 01, 2012 @ 11:57 AM

Car insurance is one of the biggest expenses associated with owning a vehicle. Finding the coverage you need at a price you can afford can be tricky but it can be done using these simple tips.

Compare several different insurance companies

The best way to save money on your car insurance is to get quotes from several different companies. Rates for the same amount of coverage can vary widely from company to company, even when you are inputting the same driver and vehicle information for a quote. Simply comparing quotes could save you hundreds of dollars on your car insurance premium.

Research the value of your vehicle

When you purchase comprehensive and collision coverage on your vehicle, the insurance company will reimburse you the fair market value of your vehicle if you are in an accident. If you have an older vehicle this could be a very small amount of money that won't help you much when purchasing a replacement vehicle. In other words, if you have an older vehicle, you can skip this coverage to save money on your car insurance premium.

Adjust your deductibles

The higher the deductible you choose the less you will pay for car insurance. Just be sure that you don't raise your deductible too much; ideally, your premium should be set at an amount that you could reasonably cover in the case of an accident.

Cut down on extra coverage that you don't need

When you request a car insurance quote online the company will likely automatically select certain elective types of coverage for you. When you get to the point where you can deselect the types of coverage you don't need, look through these items carefully. Each coverage adds money to your premium and you may already be covered for items such as rental reimbursement, roadside assistance or loan payoff through your vehicle warranty or a service such as AAA.

Double check your information before purchasing a policy

Everything from your age to the address where you park your car affects your car insurance premium, so check your personal information before you submit it for a quote. Also, check that you've accurately selected the make, model, and security features applicable to your vehicle.

Take advantage of special discounts

You may be eligible for discounts based on everything from your driving record to where you work. Research the discounts available through your insurance company to see if you qualify.

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