Although car ownership comes with many benefits, there are also numerous costs to consider. For many drivers, one of the biggest auto-related challenges that they face is paying for high-quality insurance.
Because insurance costs can often be comparable to car payments, many people look for the most inexpensive options. While there is nothing wrong with seeking out dirt cheap car insurance, it is important to pay attention to what you are getting. With that said, there are some ways that you can save money on any package you decide to go with.
1. Use Multi-Car Discounts
If your household has more than one driver, one of the most cost-effective ways to approach insurance is by taking advantage of multi-car discounts. By bundling all cars and drivers into one policy, you can significantly reduce costs compared to multiple individual coverages.
2. Enroll in a Defensive Driving Course
Depending on your insurer, you may also be able to bring rates down by enrolling in a defensive driving course. In 2019, there were more than 33,000 car accidents in the United States which led to over 36,000 deaths. Learning to drive more defensively can also make the road safer for everyone.
3. Shop Around
When looking for the best groceries, clothes, or other necessities, most people do not look in one single store. Instead, they shop around multiple places to find good deals. When it comes to vehicle insurance, you should approach things the same way. Shop around until you find the best rates.
4. Use Public Transportation
By limiting your vehicle’s mileage, you can reduce the cost of your premium. If you are fortunate enough to live somewhere that offers inexpensive and efficient mass transit options, another solid way to lower insurance costs is by using public transportation more often.
5. Downsize Your Vehicle
For anyone who is thinking about purchasing a new vehicle, it may be worth thinking about downsizing. While large trucks and SUVs offer a lot of space and moving potential, they also come with higher costs. Smaller cars are not just cheaper in gasoline consumption but also insurance.
6. Pay Attention When Driving
Of course, nothing impacts auto insurance rates as much as your driving behaviors. For example, if you have a history of accidents and traffic violations, you can naturally expect higher costs. As such, it literally pays to pay attention when driving. Slow down, stay safe and enjoy lower insurance rates.
7. Increase Your Deductibles
Although this option is not always ideal depending on a person’s situation, another way to lower insurance costs is by increasing deductibles. The downside of doing this is that it costs more up-front in the event of an emergency. The upside, however, is that it leads to reduced monthly costs.
At the end of the day, driving a vehicle is a major responsibility that comes with numerous risks. While reputable insurance coverage can help financially protect you, it is important to remember that you have more control than you may think. By following tips like these, you can drive more safely while also lowering your monthly insurance expenses.