If you’re like many people, there’s a pretty good chance that you live on a budget. And so, as you’re going through the list of things that you need to pay for every month, you might be tempted to go without auto insurance. The thing is, not having car insurance is considered to be illegal. Not only that, but it also makes you vulnerable when it comes to incurring a significant amount of debt should you happen to have a car accident.
The better choice is to look for an auto insurance company that offers coverage at a price that you can afford. If you’d like some tips on how you can do that, here are five tips that will be sure to put a smile on your face as you drive safely, confidently, and legally down the road.
Do some comparison shopping. Some people end up paying too much money on their car insurance and it’s because of one simple reason: they purchase a policy from the first company that they see in their phone book or online. The only way you’re going to find out about the different rates that different insurance companies have is to do a bit of comparison shopping. For a list of some of the best car insurance companies on the market, visit Consumer Affairs and put “best auto insurance companies” in the search field.
Get several policies with one company. If you already have house, renter’s, or liability insurance with a particular insurance company, something else that you might want to think about doing is getting your auto insurance from the same place. Insurance companies are always looking for ways to get more business; therefore, they tend to offer some really great discounts (or bundle rates) when you get several different policies from them.
Increase your deductible. One of the reasons why car insurance premiums can sometimes be high is because that’s a way to keep your deductibles lower in case you do have an accident. But if you want a way to reduce your premiums, you can always increase your deductibles. Just keep in mind that you’ll usually have to pay a few thousand dollars more out of your own pocket should an accident happen to occur.
Maintain a good credit score. If you were to speak with someone who works at an insurance broker company like Charles Goodman Group about something else that you can do to save money on auto insurance, one thing they might recommend is maintaining a good credit score. Basically, your credit score lets creditors know how responsible you are when it comes to your financial obligations. A high score indicates that you are dependable. That alone can earn you a nice discount when it comes to your car insurance. For tips on how to maintain a high credit score, visit Credit.About and put “maintain a high credit score” in the search field.
Drive safely. Finally, one of the best ways to save money on your auto insurance is to avoid getting into an accident. Not only can this keep your premiums down, but many car insurance companies actually reward safe drivers with discounts if they happen to spend a certain amount of time on the road without experiencing a collision. For tips on how to drive safely, visit DMV.org and put “driving tips” in the search field.