Okay, let’s be honest! When was the last time your spent time pouring over the details of your auto insurance policy? Most likely, just like the innumerable people around you, you would have just purchased your policy and kept is aside without taking a good look at it.
If you have not read your policy in a long time, then, this might be the right time to do so since you will be able to knock off a significant number of dollars by spending minimal time and effort in reviewing what you currently hold.
The tips listed here can go a long way in helping you save considerable costs on your auto insurance coverage.
- 1. Opt for increases deductibles
By increasing the amount you pay as deductibles, which is nothing but the amount you have to pay from your pocket to avail coverage in case of mishaps, you can reduce significantly on the premium costs. You can save up to 15% of your comprehensive or collision coverage by increasing your deductibles by $300 and if you want to save up to 40% on your premiums, then consider increasing your deductible by $1000.
- 2. Exclude the coverage you don’t use
If you have a car which is very old and does not fetch a great deal of money in the market today, it is better to opt out of comprehensive and collision coverage because you will end up spending more money on the coverage which may be greater than the value of your car. To top it, the deductibles and claim amounts may not even exceed the money you pay as premiums towards the policy.
- 3. Eliminate redundancy in medical coverage
Having a good health insurance policy that takes care of disability insurance and life insurance will help because in such cases you can opt for the state specified minimum requirements for personal injury protection in the auto insurance coverage you purchase.
- 4. Opt for a no-frills car
Cars that are a favorite among thieves and don’t have sufficient security features will cause a dent in your pocket when you opt for insuring them. It is better to opt for car that are not too jazzy and those that have increased level of security to reduce your insurance costs significantly.
- 5. Driving less and carpooling helps
Auto insurance companies readily offer increased discounts to people who drive less and during times when the traffic on roads is less. By driving lesser number of miles than those specified by your auto insurance company can make you eligible for larger discounts.
- 6. Go in for safety features
Auto insurance companies love cars that are loaded with safety features like daytime running lights, automatic seat belts, anti lock brakes and air bags. Any other safety equipment and alarm systems with approval will give you larger savings on your policy costs.
- 7. Ask for teen discounts
Don’t opt for separate policy for your teenagers; instead consider adding them to the parents’ policy. Undergoing a certified driving course and getting good grades in school can help teenagers get large discounts on their auto insurance policy. If you child does not use a car to go to a college which is about 100 miles away, then, he will be eligible for even greater savings on the policy.
- 8. Use one insurance provider for all your requirements
Don’t opt for different companies for various insurance policies. Going in for home insurance, life insurance and auto insurance coverage from the same company can be very helpful to you. Bringing all of them under one umbrella can entitle you to get a lot more savings on your policy.
- 9. Enquire for various discounts
People who are older than 55 years and have a good driving record can get a lot of dollars knocked off their auto insurance policy. Not being in an accident for three consecutive years and being a loyal customer also will prove to be in your advantage.
10.Think twice before opting for breakdown coverage
Don’t opt for breakdown coverage as a part of your auto insurance coverage because you will end up paying a lot more for it than if you opt for it separately from a different provider. Also, before opting for breakdown coverage, check with your credit card company since most of them offer this benefit.
And the best tip? Shop around for auto insurance coverage with our great, free online tool.