5 Tips for Lowering Your Auto Insurance Rate

Times may be tough, but drivers still have to pay for car insurance. Here are several tips for lowering auto insurance rates.

Lowering Auto Insurance Rates With Discounts

Ask your car insurance provider if they offer discounts. Auto insurance providers often offer discounts to teenagers for maintaining high grades. If you have taken a defensive driving class, you may also qualify for an auto insurance rate discount.

Low-mileage discounts could also lower your auto insurance rate. You should also ask about a safe driver discount if you have not had an accident or moving violation in the last few years.

Before You Buy a Car, Check on the Auto Insurance Rate

That sports car you've got your eye on will have a higher car insurance rate than a sensible and safe family car. Before purchasing a car, call your car insurance company and have them quote you a rate. This will keep you from getting locked into an auto insurance rate you can't afford.

Lowering Your Auto Insurance Rate With a Higher Deductible

If you have enough savings to cover a higher deductible, this can be a great way to save money on car insurance. You will have to pay more out of pocket if something happens to your car, but you will likely end up saving more money in the long run.

Reduce Coverage to Lower Your Car Insurance Rate

Do you have an older car? If something were to happen to your car, the compensation you receive could be less than the premiums you've paid. If the car's value is minimal, you can drop extra coverage such as comprehensive and collision.

Lowering Car Insurance Rate by Combining Policies

Can you combine your car insurance policy with your homeowner's policy? Are there any other insurance policies you could combine? Insurance companies want all the policies they can get and are often happy to offer a lower auto insurance rate if you give them more business.

Sources

Insurance Information Institute, http://www.iii.org/individuals/auto/checklists/auto/

Personal Experience