Budgeting Tip: 6 Tips for Saving on Auto Insurance

Whether you’re a single mom, married, or “it’s complicated,” the responsibility of budgeting often falls in your hands. You need to find ways to maximize your money for things you love while covering all the bills.

Your car insurance is likely one of your larger monthly expenses, especially if you have more than one vehicle and teenagers driving your cars. If you’ve filed any claims or you drive a certain car, that cost will rise.

Though you’ll pay more after you’ve filed claims no matter where you purchase your insurance, there are some ways you can immediately lower your costs.

1. 15 Minutes Can Save You 15 Percent or More

You might recognize this slogan from Geico commercials with the argument that if you call them, they can get you a new quote and save you big. However, it applies for any insurance company.

Your existing insurance premium will likely rise subtly without you realizing it. You might qualify for a much lower rate elsewhere if you shop around.

2. Shop Local

GEICO, Allstate, Progressive, and Liberty Mutual are all national insurance companies, but you can actually save by shopping closer to home. You might look for insurance in your city or state that offers the coverage you need without a massive price tag. Use comparison sites like Cheap Auto Insurance Comparison to find the most affordable insurance in your state. Besides this, you can also seek the help of professionals from firms similar to One Sure Insurance who could offer you guidance and advice on which type of car insurance policy may be affordable and suit you the best. For instance, if you fall in the bracket of the “over 50s”, then the professionals can help you find over 50s car insurance that may be appropriate for you.

3. Go Through Your Credit Card Company

Oftentimes, credit card companies will partner with insurance companies to get you better rates. Wells Fargo, for example, partners with Progressive for certain card holders. Not everyone qualifies for these discounts, but it doesn’t hurt to give them a call to see.

4. Reduce Coverage on Older Cars

If you’re leasing a vehicle or want to protect a newer car, you’ll want full coverage, but your older cars usually don’t need so much protection. If you have a car valued at less than $5,000, full insurance may not be worth the money.

Older cars don’t need as much maintenance, and it’s likely on its way out the door anyways. There’s no sense in paying for full coverage on an item that you won’t have a few years down the road.

5. Bundle Insurances

Here’s an opportunity to kill multiple birds with one stone. Most insurance companies will offer a reduced rate for bundled insurance policies. Consider purchasing your home, auto, life, business, and any other insurance premiums from the same company to lower your monthly costs.

6. Manage Teenage Driver Risk

It’s convenient that your teens can drive themselves around town now, but it can potentially double your insurance rates. To reduce risk and save money overall, put your child in a certified driving course from a professional rather than teaching them yourself. They’ll learn the rules and be a safer driver as a result.

You can also reduce issues with strict regulations about driving. Make sure they have your permission before using the car and that their driving privileges are revoked for unsafe driving. This will keep everyone on the road much safer while cutting your monthly costs.