If you are like most Americans, you have a car to drive and you must have automobile insurance in order to do so. Most states require a minimum level of insurance in order to obtain the proper car registration, title, tag or other legal documentation for ownership and operation on public highways. Here are some tips and hints that might save you some green the next time you are shopping for car insurance or your renewal arrives in the mail.
Check Your Credit
Most insurers will check your credit rating when assessing your risk factors for writing and issuing an insurance policy. They assume that your credit score is judgment of your risk as a driver. Make sure you keep your credit rating in good shape.
Increase the Deductible
This is simple math....the more you pay as a deductible, the less the insurer pays in the event of a claim. Having a high deductible will decrease the amount of the premium you pay for your insurance. Another reason for having a high deductible is common sense. You only want to file a claim for a major repair due to a collision or other accident. You do not want to file a claim for a dent, scratch or other minor blemish. This will only cause the insurer to examine your policy and could result in a large increase in your renewal premium or could be cause for them to drop you as an insured.
Shop 'til you Drop
Don't just write a check when the renewal shows up. Make sure you check with several insurance companies to see of you are getting the best rate and service for your dollar. You can do this by phone or via the Internet. There are several insurance "aggregators" that will take your information and request two, three, or quotes from even more insurance 'bidders' for your business.
Add Cars
If you have more than one car in your family, it only makes sense to have them on a single policy. Most insurers offer a 'multi-car' discount for doing so. This also makes sense when there are younger drivers. By having their car in your name and insuring these cars on your own policy, you will save a lot of money over having them having the car in their name and required to get their own separate policy
Seek More Coverage from the Same Insurer
Another way to reduce your automobile insurance is to have your home owners insurance with the same company. Several leading insurance companies award your loyalty by providing a discount for customers that buy multiple policies from the same company.
by Jeff Runyon
Jeff has been writing articles and publishing commentary for several years that cover a number of popular topics of interest from different walks of life.
14 years ago
