Auto insurance can be a huge financial burden to motorists, with annual rates reaching $1,000 in many U.S. states, even though they can very greatly from state to state. Insurance premiums account for a large portion of the total costs associated with owning a car, in addition to fuel costs, maintenance, repairs, and taxes and fees.
There are various factors that affect the cost of insurance premiums, such as a person’s age, driving record, credit score, place of residence, marital status, and vehicle type, to name a few. To bring down car insurance costs, car owners have to take all of the above-mentioned factors into consideration, and try to take advantage of the various discounts offered by insurance providers. Here is a list of the best ways to get cheap car insurance and save a lot of money in the long run:
Compare Quotes
The first thing that drivers should do when they start their search for cheap car insurance is shop around. Nowadays, it’s very easy to compare auto insurance quotes from different providers, as drivers can simply use one of the many online services to get a quote that would give them a pretty good idea of what their insurance costs would be, based on their vehicle type and other factors that are used to determine premiums.
Increase Your Deductibles
After choosing an insurance provider, motorists have to think about the type of coverage they want to purchase, based on their needs and financial abilities, as well as the deductible. When it comes to deductibles, those who want to lower their insurance costs are recommended to choose a higher deductible, which means that they would have to pay a higher amount of money for repairs out of their pocket following an accident, resulting in lower monthly premiums, which leads to significant savings in the long run.
Make Sure You Are Eligible for a Discount
Almost all insurance providers offer various types of discounts that can help reduce insurance costs, such as:
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Good student discount
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Accident-free discount
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Defensive driving course discount
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Vehicle safety discount
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Good driver discount
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Multi-policy discount
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Multiple-car discount
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Anti-theft device discount
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Low-mileage discount
Drivers can apply for more than one discount with their insurance provider, so they should do a little research and find out what discounts they are eligible for.
Maintain a Good Credit Score
Having a good credit score helps drivers get lower insurance premiums because insurance companies consider it as a factor that shows how well a person manages their financial obligations, which can be interpreted as a sign that they are a responsible person in general, often translating into a responsible and safer driver who is less likely to get involved into an accident.
Trying to get cheap car insurance may seem like a daunting task, but it is actually pretty simple and doesn’t take up too much of your time, and it can help you ease the strain on your family budget, saving you hundreds of dollars each month.