You probably know that your car insurance rates depend partially on your age, demographic, and traffic record. But other than keeping your record clean and not being a teenager, what can you do to get lower monthly insurance payments? Here are five ideas that might help.
1. Ask for lower rates
Sometimes all you have to do is ask. In a polite but challenging, I'm-considering-switching-to-another-company kind of way. This type of negotiation can be very powerful if you have some bargaining chips. For example, you'll need to get quotes from other companies first so you can mention that someone else is offering you a lower rate. You should also ask about all the common discounts insurance companies offer, such as discounts for low mileage, safety features, and so on.
2. Opt for a package
Sometimes you can save by insuring multiple drivers or by using the same company to insure both your car and house. You can research these types of packages before you buy insurance, but of course there's nothing stopping you from switching later if you find a good package deal that you missed.
3. Take a higher deductible
Because a higher deductible means you'll pay more for any incident that occurs and consequently your insurance company will have to pay less, the monthly payment for a policy with a high deductible is lower. So choose a deductible that's a few hundred dollars higher, then squirrel away a few hundred dollars in a savings account in case you ever need to make an insurance claim. If you don't make one for years, you'll have saved money, and if you do need to make one, you'll still be able to afford it.
4. Protect your car
Some insurance companies may even offer a lower rate if you keep your car in a garage. That's because cars are generally safer in garages (they end up in accidents less often and are stolen less often). Insurance companies don't want your car to get in an accident or get stolen, because then you'd make an insurance claim, so they want to encourage you to be the type of person who keeps cars in a garage.
5. Use public transportation
Riding the bus to work may not sound like fun and it could even add time to your morning commute. But it can also reduce the amount of use your car gets and thus reduce the amount of money it costs to insure your car. After all, the more often your car is on the road, the more chances it has to get in a wreck. So if you have a medium-to-long commute, contact your insurance company about the possibility of getting your rates reduced if you take alternate transportation to work.
These are just five options for potentially getting lower car insurance rates. Of course, keeping a great driving record is also crucial because if you don't, your rates may skyrocket. But if you already have good rates and are looking for even better ones, these tips are for you. Contact a business, such as Graber Insurance, for more information.