How to Save Money on Car Insurance

It is very possible you may be paying too much for your car insurance. According to the American Automobile Association (AAA) most people are paying too much for coverage or services that are not needed. If you were to shop around, you probably could be paying a lower rate than you are paying now.

There has never been so much competition between insurance companies for you money. The Internet has increased this competition between companies. The Internet has leveled the playing field where all companies whether big or small can have a website and offer you a better price.

It’s so much easier to search multiple companies to find the best deal, but in truth the majority of people take the first quote they get and call it quits. A study of car insurance shoppers habits shows that only 28% of people shop more than one company.

Today we have the most competitive and open market place for buying car insurance. Why aren’t you shopping for a cheaper deal every time you renew your insurance?

When you apply for car insurance be sure to apply these 5 tips to always getting the cheapest car insurance.

Being aware of the discounts that are available will also help you get a great price on your car insurance. Look for these 6 discounts when shopping:

When applying for car insurance it’s funny all the questions that the salesman asks you and you wonder what they have to do with insurance. The answer is they have everything to do with it because the car insurance company has to size you up to see how much of a risk you are. They want to charge you the cheapest rate to stay competitive but also not be under charging you for their sake. Your occupation can make you a high risk or a low risk. There may even be discounts for someone in your profession.

Whenever you travel and you use your AAA card at a hotel you received the discounted rate. Organizations and auto clubs have made arrangements with insurance company’s to offer discounted rates to their members. Check all possible clubs and affiliations you are associated with to see if car insurance discounts are offered.

A way to save money on your car insurance is to check with the company that insures your home. Insurance companies offer discounts when you combine policies. Discounts and renewal discounts are offered by most companies to keep their customers loyal. It costs an insurance company money to lure new customers to their service but it is much cheaper to keep customers by offering discounts to current customers.

Today most cars sold come with many safety features ensuring the safety of the driver and passengers. If you have any extraordinary safety features or packages be sure to mention those to your car insurance company because there could be discounts available.

There are two ways you can assume more risk and thus lower your car insurance costs. The first is consider dropping your collision coverage when your car is worth less $2,000. It’s not worth the insurance cost when it could be cheaper to just replace the car. If you have an older car to save money why not just continue to save money by adjusting your insurance.

The other way of lowering your insurance payment is to have a higher deductible. The deductible is the amount the insurance company doesn’t pay when you are making a claim. For example, a common deductible amount is $500. This means if an accident you’re in causes $1,500 worth of damage, you pay $500 and the insurance company pays $1,000. You could, however, set your deductible to $1,000. This still covers you against heavy losses, but it may decrease your monthly premium by as much as 30 percent.

Remember the type of car you drive can artificially raise your insurance costs. A high-profile, sporty car is more of a target to thieves. Having a low-profile car not only saves you money at the purchase but every year when you make your insurance payment.

Start your search for cheap car insurance at autoinsurancequotes.net