If you drive less than the average person, you can save money on your auto or car insurance. You can reduce your mileage by carpooling with coworkers, taking public transportation, or relocating closer to your work. Safety features such as anti-theft systems can also reduce your insurance premium. You can get small deductions for these features as well. You can also enroll in a defensive driving course to lower your risk of an accident.
Some insurance companies will offer discounts to customers for being loyal. The percentage of discount is typically around 10%, but don’t let that discourage you from shopping for a better rate. Another way to reduce premiums is by checking your coverage. Some policies come with processing fees. If you can save $60 per year by reducing the amount of coverage, you’ll save a few hundred dollars each year.
Increasing your deductible is another way to cut premiums. Kelly Blue Book estimates that you can save 15 to 40% on collision and comprehensive insurance by raising your deductible. In other words, if you’re a safe driver, you can save up to five hundred dollars or more per year by raising your deductible to $1,000. You should have the money set aside for this out of pocket expense.
Some companies offer low-mileage discounts. You can also ask your insurance company for group insurance. It’s a good idea to check your credit report annually. Additionally, you can reduce the monthly premium by increasing your deductible to $500. By raising your deductible, you’ll be paying less out-of-pocket for repairs. This will save you money in the long run. If you’re looking for ways to save money on auto or car insurance, here are some tips to keep in mind:
