What Is the Cheapest Way to Get Car Insurance

Before you determine your final monthly premium, make sure you ask about any of these discounts or others offered by your insurance provider. If you meet the required criteria, these types of discounts can save you money every month.

If you haven’t received a moving violation or been involved in an accident recently, your insurance company may be willing to offer you a better deal on your premiums. According to The Balance, safe drivers get some of the cheapest car insurance rates. Of course, it will depend on your particular insurance provider as to what is considered a safe driver; however, having a clean driving record will almost guarantee that you qualify for some sort of discount. Not submitting a claim to your insurance company is another way to keep your driving record clean for a better rate.

    With this information, an insurance company will decide how much of a liability they consider you to be and set your premium accordingly. Keeping up on your debt payments and reducing how many lines of credit you have open can help you get cheaper insurance rates.

    Setting Your Deductible

    Your car insurance deductible is the amount you have to pay before insurance kicks in when you make a claim. While your insurance provider probably has a default amount for the deductible, you can decide on the amount you want this to be. If cheaper insurance is your goal, you’ll want to set your deductible at a higher rate. However, make sure this is an amount you can easily cover on your own if an accident does occur.

    Additionally, it’s important to note that when you have liability coverage only, you won’t have a deductible because this type of insurance only covers the other people involved in an accident where you are the at-fault driver.

    Paying for the Coverage You Need

    If you have more than one vehicle, you could consider lowering the insurance on the one you use the least. On the same note, when you have a vehicle that you aren’t driving at all or plan to store for a month or more, consider dropping all coverage for that vehicle. Make sure you talk to your insurance company about this to ensure you aren’t penalized for canceling your policy.

    Other Types of Insurance

    While liability and comprehensive are some of the main types of insurance coverage you can get, other types of insurance are out there that can be ideal for certain drivers and in some special circumstances. If you don’t drive many miles each year, you might want to consider allowing your insurance company to install a device that keeps track of your mileage.

    When you have this device installed, you can go by what’s referred to as pay-per-mile coverage, so you’ll only be paying insurance for the miles you drive. The savings you receive will depend on which insurance provider you use, but it can be worth it for drivers who don’t spend much time on the road.

    If you do spend a lot of time on the road, another thing you can do is review the types of coverage on your policy. Sometimes, you can get rid of coverage you don’t need, such as car rental or windshield replacement. If you have an older vehicle, you may be able to get rid of comprehensive coverage. When your vehicle reaches a certain age, this type of coverage is no longer worth it, as your vehicle’s value is less than what you’re paying each year to retain the coverage.

    These are some of the cheapest ways to get car insurance that fits your budget. Using this guide, you should be well-equipped to start shopping around for the insurance coverage you need at a price you can afford.

    Sources:

    https://www.nerdwallet.com/article/insurance/auto/ways-to-get-cheapest-car-insurance

    https://www.investopedia.com/articles/pf/08/car-insurance-costs.asp

    https://www.thebalance.com/how-to-get-the-cheapest-car-insurance-527549

    7 ways to find good, cheap car insurance

    https://www.compare.com/auto-insurance/resources/car-insurance-hacks

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