Auto insurance may be mandatory, but it does not have to destroy your budget. If your car insurance premiums have been more expensive lately, it's time to sit down and figure out why your costs are so high. Whether your high auto insurance is due to bad credit or speeding tickets, you can reduce the costs. Here is some helpful advice on how to make car insurance more affordable:
Take a Defensive Driving Course
You don't have to be a teenager to benefit from a defensive driving course. If you have accumulated a lot of points on your driving record, taking one of these courses may reduce your auto insurance premiums. Your insurance company will take notice that you are making an effort to improve your driving skills and may reward you with cheaper insurance rates.
Improve Your Credit Rating
Unfortunately, a poor credit score can affect more than your ability to qualify for loans. If you have bad credit, you may also face high auto insurance costs. According to AutoInsurance.org, auto insurance companies may think someone with bad credit will file more claims and not pay their car insurance premiums on time. Raising your credit rating may take several months, but it can reduce your auto insurance rates.
Make Your Vehicle Theft Proof
If your car gets stolen, your insurance company could lose thousands of dollars. Making your car theft proof will ease your insurance company's worries and may reduce your auto insurance premiums. For example, instead of parking your car on the road, always leave it in your garage. Installing anti-theft devices, such as a car alarm or steering wheel lock, can also reduce the likelihood of your car getting stolen.
Consider Getting a Low-Profile Car
If you currently drive around in a flashy sports car, you likely pay more money for auto insurance than someone with a mini van. Flashy vehicles tend to cost more to repair and are more attractive to car thieves. Trading your car in for something more practical can reduce your auto insurance rates. Driving a van may not be as impressive, but at least you will not have to pay a fortune for car insurance anymore.
Ask about Low-Mileage Discounts
If you don't drive your car that much, you should inquire about low-mileage discounts. The less time you spend driving, the less likely you are to get into an accident. Your insurance company will consider you a low risk and may take a few bucks off your auto insurance premiums.
Use Your Occupation to Your Advantage
The type of job you have can have a big impact on your auto insurance rates. For example, if you are a teacher, you may qualify for lower car insurance rates because teachers usually have good driving records, according to DMV.org. Other occupations that may qualify for lower insurance rates include scientists, accountants, and nurses. If you have a low-risk occupation, you should definitely let your insurance agent know about it.
Move to a Smaller Town
If you live in a big city, you could get charged more money for auto insurance premiums because there are more cars on the roads. The more vehicles there are on the road, the more likely you are to get into an accident. If it's feasible, you should think about moving to a smaller town.
As you can see, it is very possible to have cheaper auto insurance rates. If you follow these helpful tips, your car insurance premiums will not break the bank anymore. If you ever aren't sure why your insurance went up, talk to your insurance agent. You might also consider speaking to a representative from an agency like Northeast Insurance Agency to see what discounts they might be able to offer.
After we purchased our first home, we realized that it might be a good idea to evaluate our insurance coverage. Although we had purchased homeowners insurance before, we had never owned a policy as large as the one we would need for our new place. Also, our new home had a trampoline and a swimming pool, which made us worried about liability. To iron out the details, I decided to meet with our insurance agent. We talked about things like monthly premiums, coverage limits, and deductibles, and it was incredible to learn more about the terminology. This blog is designed to help you with the same types of questions.