Financial Self Help Blog

How to Save Money on Car Insurance

by .
Filed under: Personal Finance - Saving Money.

Car insurance policies are something that the majority of people have to deal with at some point. This is an expense that is unavoidable if you drive a car. While it is an unavoidable expense, does not necessarily mean that you cannot save money when buying it. Car insurance doesn’t have to be expensive.

One of the best ways to save money on car insurance is to shop around and compare one policy against another. If you simply choose a car insurance company because your parents used that car insurance company, you may not necessarily be getting the best deal that you could get. If you shop around, you can be sure that you’re getting the best deal on your car insurance.

Many car insurance companies make it possible for you to get quotes online without even giving any of your personal information. Some sites even allow you to compare the rates of multiple car insurance companies at the same time. You may also call agents in your local area and ask for quotes on car insurance. Most agents will be able to give you a quote while you’re on the phone. If not, the agent can usually call you back shortly with a quote.

When you compare are insurance companies, make sure that you are comparing similar policies. Not every type of car insurance provides you with the same premiums. For example, one policy may have a $100,000 liability insurance limit while another has a $300,000 limit. Obviously these two different policies would most likely have different premium amounts. If you do not compare similar policies, you may end up making a mistake when it comes to choosing the right policy for you.

Another way to save money on your car insurance is to consider bundling your coverage with other types of insurance. For instance, if you own a home, you may be able to get both your car and homeowners insurance from the same company. By doing this, the company may give you a discount on the rates for both products. If you can bundle even more insurance products with the same agent, you can usually get a certain percentage off.

Don’t overlook online-only insurance companies when trying to save money. Some people prefer to go with a traditional insurance company so that they can deal with an agent. However, this often leads to missing out on a better deal elsewhere.

Leave a Reply