Owning a vehicle comes with several recurring expenses—including auto insurance. While the cost of auto insurance isn’t insignificant, it doesn’t have to be prohibitive, either. There are practical steps any vehicle owner can take to reduce the cost of their insurance—starting with the ones below.
How to Reduce Your Auto Insurance Costs
- Be a responsible driver. This one’s probably obvious, but the single best thing you can do to keep insurance costs down is to be a safe and responsible driver. The more violations or accidents you have, the higher your premiums will rise. Keeping a clean driving record will keep costs down over the long haul.
- Shop around. Don’t just go with the first quote you receive; ask around at different insurance carriers and see who offers you the best deal. It’s probably worth checking around every year or two, just to see how your options have changed, and certainly to shop around any time your premiums increase.
- Consider going bulk. If you have multiple cars and multiple drivers, make sure to insure all of them through the same insurance company. Many insurers will offer a “bulk rate” for multiple cars/drivers, simply because they’re zealous for your business.
- Take driving classes. Ask your insurance company about defensive driving classes; believe it or not, taking an hour or two for one of these classes can lead to significant premium reductions.
- Buy the right vehicle. Your vehicle selection can have a big impact on your insurance costs. The higher your car or truck’s safety ratings, the less you can expect to pay; do some online research before buying any vehicle, and make sure you’re getting one that gets good safety numbers. And, if you have a hybrid or electric car, ask your insurance about any discounts. More and more insurers are rewarding drivers who “go green.”
- Raise your credit score. Believe it or not, your credit score can also impact the cost of your insurance. Some ways to raise your credit score: Pay all your utilities and bills on time; pay down any outstanding debts; and avoid opening any new lines of credit unless really necessary.
- Pay attention to your policy. You may have more coverage than you actually need. For instance, what if your vehicle is worth $1,000 but you spend $600 a year on collision coverage? In that instance, it may be more prudent simply dropping down to more bare-bones coverage.
- Talk to your insurance agent. Finally, don’t hesitate to ask your insurance agent about different ways in which you could save a few bucks. You may be surprised by the options your agent lays out for you!
The bottom line for motorists? You need insurance—but you don’t necessarily need to pay an arm and a leg for it. Use these tips to keep costs low and reach out to Get My Auto to learn more about smart vehicle ownership.