7 Tips to Help You Save Big on Car Insurance Without Compromising Coverage

Are you looking to save money on car insurance without compromising on coverage? You’re in luck. By following a few simple tips, you can save big on car insurance without sacrificing the coverage you need. From raising your deductible to taking advantage of discounts, these 7 tips can help you find the perfect balance of cost-savings and coverage. With some careful research and smart shopping, you’ll be able to find the perfect car insurance policy for you without breaking the bank.

Understand Your State Laws and Insurance Requirements

The first step to finding the best car insurance policy is understanding what requirements your state has for car insurance requirements. While every state has slightly different requirements, there are a few major factors you’ll want to keep an eye on when looking for the best car insurance policy. Understand your state’s minimum car insurance requirements. Car insurance requirements for every state vary, but the majority of states require that you have minimum levels of car insurance coverage. Understand your state’s maximum car insurance limits. Most states have some sort of car insurance limit. Some states have very low limits while others have very high limits.

Shop Around for Different Car Insurance Policies

Once you understand your state’s minimum and maximum car insurance requirements, you’ll be better able to shop around for different car insurance policies. Once you’ve found the perfect car insurance policy for your needs, shop around for different rates. Many times, a lower-cost car insurance company may be offering lower rates because they’re part of a group plan. You may also be able to find a different company that is offering cheaper rates because they’re offering other discounts.

Raise Your Deductible

Many car insurance policies allow you to increase your deductible while still remaining under your state’s minimum car insurance requirements. Raise your deductible to reduce your premium. Most car insurance companies charge higher rates the greater your deductible is. By lowering your deductible, you can lower your premium and save money.

Ask About Discounts

In addition to lowering your premium, some insurance providers may offer discounts for completing a number of actions, such as completing a car insurance course, maintaining a safe driving record, and/or having your car inspected. Most insurance providers have online websites that allow you to view their discounts. If you’re interested in a particular discount, you can search for it on the provider’s website.

Pay Your Premiums Annually

Once you’ve found a car insurance policy that fits your needs, take advantage of paying your premiums annually. Many insurance providers will offer lower rates if you pay your premiums on time. If you’re able to pay your premiums on time, you’ll often receive lower rates, may be eligible for reduced rates, and/or be eligible for special discounts. Some insurance providers offer payment plans and/or discounted rates for customers who want to spread their payments out over a longer period of time.

Bundle Policies with the Same Insurer

If you’ve been shopping around for different car insurance policies, you may have noticed that some of them offer the same coverage. This is a great way to save money on car insurance. By bundling different policies from the same company, many insurance providers offer lower rates and/or better discounts. Many times, carrier discounts will stack, which means that you can get the same discount on multiple policies from the same company.

Consider Usage-Based Insurance Programs

If you drive infrequently and/or drive under the state’s minimum car insurance requirements, you may be able to take advantage of usage-based insurance programs, otherwise known as UBI programs. UBI programs, which are becoming more common, provide lower rates for customers who drive infrequently. By combining these two factors — how often you drive and how much you drive — you may be able to take advantage of a lower-cost UBI program. You can often find UBI programs within your car insurance provider’s website or by calling your car insurance provider and asking them about UBI programs.

Conclusion

Finding the best car insurance policy doesn’t have to break the bank. By taking a few minutes to understand your state’s minimum and maximum car insurance requirements, shop around for different car insurance policies, raise your deductible, and/or take advantage of discounts, you can find the perfect car insurance policy for you and your pocketbook. Whether you’re hoping to lower your insurance bill or save on driving infrequently, following these tips will help you find the perfect balance of cost-savings and coverage.