Car insurance often feels like an expensive nuisance—that is, until you need it. Shop wisely with these eight car insurance tips aimed at saving you money on premiums without sacrificing the coverage you need.
If you’re buying car insurance for the first time, it pays to comparison shop. You can call different insurance providers one by one, or you can find a website or app to do the comparing for you.
To receive an accurate quote, be sure to have your zip code, driver’s license number, make and model of your car, and the type of coverage you want (bare minimum, middle of the road, or premium coverage). With a few estimates in hand, you can make an informed decision.
The vehicle you drive makes a significant difference in the amount you pay for car insurance. In general, less expensive cars are more affordable to insure. The easiest way to estimate the cost of insurance before you buy a car is to contact your existing insurance carrier and ask how a particular purchase will affect your existing rate.
The purpose of car insurance is to help protect you from losses you can’t afford if you get in an accident. Therefore, you should choose your deductible based on the costs you’re willing to handle.
For instance, don’t set a $100 collision deductible if you can easily take on a $1,000 loss—otherwise, you’re merely buying coverage you don’t need. While the exact amount you can save varies, one study found that the average driver can save 9 percent per month by doubling the deductible from $500 to $1,000.
Your deductibles are only a small part of your total insurance package. Here are other factors to consider:
You benefit in two ways when you combine policies. First, you shorten your list of providers. Working with one carrier is easier than working with two. Second, you may qualify for a multi-policy discount. Many car insurance companies also offer homeowner’s, renter’s, flood, motorcycle, boat, liability, and other types of insurance.
Aside from opening multiple policies, you may also qualify for discounts in other ways. These include:
These discounts can really add up, especially if you qualify for more than one.
Most insurance companies offer two options: pay monthly or enjoy a discount by paying a lump sum twice a year. If you can afford to do so, pay in full every six months to keep more money in your pocket over the long run.
The company offering the best rate today might not still be the best a year from now. It only takes a few minutes to get a batch of quotes online, and comparing rates won’t hurt your credit score. Just be aware that staying with the same company for many years could make you eligible for a customer loyalty discount, so consider asking your current carrier about those deals before cutting ties.
Auto insurance can help you pay to fix your car, but you need a reliable mechanic to make the vehicle roadworthy again. Come to Scott’s Fort Collins Auto for comprehensive vehicle repair services you can count on. We’ll work with your insurance company to make the ordeal of recovering from an accident as stress-free as possible. Give us a call at (970) 682-4202 to arrange affordable car repair and maintenance in Fort Collins or Loveland.