This is the single most important thing that you can do to save money. Not all insurance companies are created the same, and none of them will charge the same. Use an online platform, such as the one found on MarketWatch, and let them do the legwork for you. All you have to do is pick the one that works best for you. Keep in mind, though, that the cheapest quote is not always the best. Read the policy and check the coverage and any riders or exclusions. If a policy is cheap, but does not cover all your needs, what’s the point?
- Payments-You will want to try to pay your premiums on a yearly basis. They will offer you a monthly rate, but if you compare the two amounts you will see that even though it is convenient to pay monthly, it will cost you more money by the end of the year.
- Coverage-You need to check your coverage amounts, and exactly what is being covered. What is extra on the policy, such as roadside assistance. If you are still looking through car insurance quotes make sure you do some reading before committing. If you have a policy already, go through it. If there are things that you are being charged for that you do not use, remove them. The savings will be small, but a few bucks here and there will add up.
- Premiums-The quickest way to decrease the premium amounts is to increase the deductible. This is how much you will need to pay up front before a claim will be paid by your insurance company. The higher this amount is, the lower your premiums will be. But keep in mind that this does mean that more will need to come out of your pocket if anything should happen. Have a budget in place (and an emergency fund) and see how much you could afford to pay out. Do not go below this threshold and set your deductible amount accordingly.
- Claims-Any time you file a claim with your carrier your premiums will go up. Before you file one, take a second to think about the damage. If it is something small that will not cost much it may be better to just pay for the repairs without even letting your carrier know that anything had happened. This is totally a judgment call on your part because you know what you can fix yourself, or how much you can pay out for a repair.
Never settle for the first insurance policy that is offered to you. If you use an online platform, it only takes a few minutes to see how much the prices can vary from one company to another. Each policy will be different as well, some of them may have high deductibles, while others may have horrible coverage stipulations. Take the time to sort through the offers that you have gotten and pick the best one that fits your needs. As mentioned earlier, the cheapest may not always be the best. Look through them all, write down the ones that match your needs, and then go with the cheapest of those.