Large auto insurance savings are possible. As one company advertises you can save $500 or more on car insurance by switching companies. But having a spotless driving record may only save you ten percent with some companies. If you are going to try and save money you can aim big and save nicely. Here are the 3 ways of saving a lot of dollars.
Save by Shopping Around for the Best
The truth is that you are a number for auto insurance companies. A quote is your worth to them. If they like you they will offer a lower figure. Otherwise they will tell you to go away kindly by quoting extortionate rates. Is there point sticking to a company that does not really want you?
You need to find a company that likes to insure you and therefore offer lower quotes. To do that you will need to shop around a bit. Get a few quotes for the same coverage you have with your current insurer and see if they will come attractive enough.
Most people would find at least couple of hundred dollars savings somewhere else. In some cases you can stay with one of the top ten companies and still save as much as thousand dollars. There are extensive studies on possible quotes from various companies. The differences are surprising even for people who are working in the industry.
The savings would be even bigger if you are insuring a teenager under your policy, just bought a sports car or you just had a claim. These are the times your premium would go very high and the premiums differences would really start showing. When you see a high premium quote you just run away. Do not stay around and keep complaining about high vehicle insurance costs.
Save Money by Changing Car Insurance Coverage
Many people buy fancy policies and pay handsome premiums. Some companies like to load their policy packages in both ends. They load the coverage with all sorts of fancy looking items and demand high premiums as a result. On the other hand, many companies offer decent level of coverage in great prices.
You should definitely buy collision, comprehensive and uninsured driver coverage as well as increasing minimum liabilities cover as long as you can afford them. These are common components of full coverage and there are hundreds of packages including all of them. When you keep your policy requirements to the main that most people go for you will be able to buy them off the shelf.
The prices start going up when you start customizing them and adding a lot of extras that you are unlikely to need. And even if you do not buy it will not cause a major financial strain in your wallet. For example, many people think that Rental Reimbursement is an essential coverage they would be looking for. However, they usually provide maximum of around $1,000 coverage. This amount cannot make or break most people. Besides you would have other options than renting a car as soon as yours is taken to a body shop after an accident.
Saving Money by Buying an Insurance Friendly Car
Buying a safer car or a family oriented car instead of a sports one can save you a lot of money. Even between similar types of car from the same manufacturer can save you considerable amounts. Companies make the same models for different clientele. One model can be for everyone and cheap to insure. And the other model may have one or two sporty extras including a little more powerful engine and it will cost you a lot more to insure.