How to Get Better, Cheaper Car Insurance

Unless you live in an urban environment where public transportation is convenient and inexpensive, you most likely get back and forth to work or school in an automobile. In a rural area, driving a car is almost a necessity due to the distances you have to travel and a lack of public transportation. If you drive a car on public roads, it’s mandatory that you carry adequate insurance--it’s the law--and people who are still making payments on a vehicle are usually required to carry full coverage. Having insurance coverage is simply part of driving a car. Fortunately, there are some things you can do to get insurance without breaking the bank. Following are a few tips on how to get better, cheaper car insurance.

Determine What You Need

One of the first things you should do is determine what type of insurance you actually need, and how much coverage to take out. As stated above, if you are still making payments you’ll most likely have to carry full coverage, but if your car is paid off you have more choices. After the car is paid for, you can drop everything except liability insurance. However, you must keep in mind that doing without comprehensive coverage can cost you if you’re ever in a single-vehicle accident. In that case, you won’t be covered and whatever the cost is, it will have to come out of your own pocket. Liability insurance will also not protect you from theft. If these features are important to you, you will have to pay for some form of comprehensive coverage.

High Deductible

One way to save money on insurance coverage is to carry a high deductible. You should be aware that if you opt for a high deductible your premiums will certainly go down, but in order for an insurance company to cut you a check if you have to file a claim, your deductible must be paid in full. That means you should have enough cash on hand, or readily available, to pay off the deductible without having to take out a loan. A good way to do that is to open a savings account designated for emergency use only. If you deposit money into this account on a regular basis, and refrain from dipping into it unless there is an actual emergency, then you will be sure to have the money to pay your deductibles.

Do Your Research

After you’ve decided what type of insurance to buy, and how much coverage you’ll need then it will be time to start looking for an insurance carrier. Because there is a lot of competition among insurance carriers you may be able to find adequate coverage for a decent price--but you may have to do some research first. If you go online and look up insurance companies such as CarInsurance.net, you will be able to get insurance quotes that will give you a good idea of how much you’re going to have to pay. You can also approach your friends and neighbors and ask them where they get their insurance from. If they’re satisfied with their insurance carrier you may want to contact them for a quote, as well. You can also call some of the local brick and mortar companies and get their best price. If you already have insurance on your home, health, or life you should contact your present agent, too.

Discounts

If you’ve been with the same insurance provider for awhile, it may be in your best interest to stick with them, because most insurance companies will reward longtime customers with lower rates. You may also qualify for a discount if you have your home, health, or life insurance through that company--they may give you a ‘bundle’ price. If you have more than one vehicle, you could be eligible for multi-vehicle discounts.

Compare Quotes

After you’ve collected quotes from online companies, as well as your present carrier and other local insurance companies, you will need to compare their rates. Take into consideration any minor differences in the type or amount of coverage you’ve chosen, as well as any discounts you may have coming to you. The amount of your deductible will also have to be figured in before you can make a decision on which carrier to go with.