Copywritten by Stacey Zimmerman in 2006.
Use these tips to bring down your rates.
Many of us get frustrated when it comes to car insurance. Most states have laws that say you have to have it, and the prices can be very high. Car insurance doesn't have to be expensive. Here are some ways you might be able to cut your rates.
Shopping around is one of the most important things you can do to lower your rates. Make sure you get at least three different price quotes. You can even use the Internet to find this kind of information. Car insurance prices vary from company to company, so you should ask people you know where they get their insurance. It will pay off to compare prices for the same coverage.
You can also ask for a higher deductible to lower the cost of your car insurance. The truth is that even a $400 increase in your deductible can cut your coverage by up to 30%. But if you do raise your deductible, you should make sure you can pay it if you have to make a claim.
Check with your insurance company to see if they have any discounts. Many will give discounts if you have a higher deductible, insure more than one car, have a clean driving record for a certain number of years, take a defensive driving course, or even if you drive less than 10,000 miles per year. A lot of places will give you a discount if you work within a certain number of miles of your home. The truth is that you may be eligible for many discounts that you don't get because you didn't ask for them.
You may also be able to get lower rates if you don't add any other drivers to your policy. If you are the only one who drives your car, there is no reason for everyone in the house to be on it. You might also be able to get lower rates if you tell them how much your car is really worth. Many of us really think our cars are worth more than they are. If you bought your car four years ago, it's clear that its value has dropped by a lot. If you don't have to, don't pay too much for your car.
If you have more than one kind of insurance, like homeowner's insurance and life insurance, you may be eligible for a discount if you get all of them from the same company. Many may offer lower rates for this, but it's still important to compare multi-policy rates from different companies.
Many of us pay a lot more for car insurance than we should have to. To keep your rates low, you must, of course, keep your driving record clean. You'll find that many of us could get much lower rates if we just compared prices and asked about discounts. Don't pay more than you need to for your car insurance. Start comparing prices today!
