Vehicle Insurance Tips You Should Know to Get the Cheapest Insurance

Vehicle Insurance is Required by Law.

Since You Have to Buy Auto Insurance, You Might as Well Get the Cheapest Insurance While Still Having Adequate Coverage

• You can save several hundred dollars a year by purchasing auto insurance from a low-price, licensed insurer.
  
  
• Contact your State Insurance Department for a publication showing typical prices, lowest-priced, licensed insurers and comparison shop. Ask what they would charge you for the same vehicle insurance. Popup Blocker Help

  
  
  

• It pays to comparison shop before buying insurance, since prices can differ among companies. However, there are factors to consider in addition to cost such as dependability, service, and the insurance company’s financial condition.
  
  

• When you are comparison shopping vehicle insurance, it’s important to give correct and complete information. Your premium quote will be based on information you provide so it is very important that the information you give is as accurate and complete as possible.
  
  

• Compare your insurance rates about once a year.
  
  

• Periodically review your vehicle insurance policy and update coverage accordingly.
  
  

• While you want the cheapest insurance, it is important that your auto insurance company have the most updated information so the basis of your premium is as accurate as possible.

  Some factors that can affect your vehicle insurance premium:

  • Adding or removing a driver
    
    
  • Replacing an older vehicle with a newer one
    
    
  • Adding or removing a vehicle from your policy
    
    
  • Increasing or decreasing the number of miles driven each year
    
    

• Review your insurance policies to see if there is any duplication. For example, if you already have health insurance for yourself and your family, don't buy need to get personal injury protection.
  
  

• Don't buy more insurance than you need. Talk to your agent or insurer about raising your deductibles on collision and comprehensive coverages to at least $500 or, if you have an old car, dropping these coverages altogether. Bank that amount for emergencies. However, you do need to consider whether you have $2,000 if you needed a new car tomorrow. Save this money so you could immediately replace your car if necessary.
  
  

• One rule of thumb is that on cars with market value less than $1,000, consider carrying only liability coverage. Taking these steps can save you hundreds of dollars a year and give you the cheapest insurance.
  
  

• If you change vehicle insurance policy, make certain that your new policy is in effect before dropping your old one.
  
  

• Ask your insurance agent whether driving your car less often for your daily commute will result in a lower vehicle insurance rate.
  
  
• Your credit profile is an important in factor in determining your insurance rate. It’s common for an auto insurance company to use your credit rating to determine whether to insure you and how much to charge.

  Check your credit report and make sure it's an accurate picture of you. Strive to keep a good credit rating. We can help you with that too at Financial Freedom Trial.
  
  

• See if there are discounts to give you the cheapest insurance might include lower prices for insuring your home and car with the same company.
  
  

• Aging and life events can help you in getting the cheapest insurance. Be sure to notify your auto insurance company about things such as getting married and the fact that you are getting older.
  
  

• Take a defensive driving course.
  
  
• See if there are any membership discounts for your vehicle insurance. You’ll have to ask because your auto insurance company is not always going to volunteer them.
  
  
• Ask about discounts if you haven’t had any tickets or accidents for several years. If you are able to keep your driving record clean, your auto insurance company is less likely to raise your rates.
  
  

• Ask your auto insurance company if you can receive a discount if you store your car in a garage.
  
  

• There are sometimes discounts on vehicle insurance if you drive less than a certain number of miles each year.
  
  

• Don’t finance the premiums. Pay six months in full, twice a year to save money. This may require budgeting. Here at Financial Freedom Trial, we can help you gain skills to succeed with that.
  
  
• Try to pay your premium well in advance of the due date. No grace period applies to vehicle insurance. You don’t want your coverage to lapse.
  
  
• Do you have more than one car? If so, insure them on the same policy to get the cheapest insurance.
  
  
• Consider moving to a better area. It’s common for your auto insurance company to use your ZIP code to determine rates. If you live in an area where there are more uninsured motorists or collisions, you will have higher rates.
  
  
• Try buying your vehicle insurance from the same company that insures your home. This discount can help you get the cheapest insurance.
  
  
• Your auto insurance company will often give you lower rates if you have a car with certain safety features such as anti-lock brake system, anti-theft devices and air bags.
  
  
• Before you buy a new car, check with your auto insurance company to see what the rates will be.
  
  
  • Some cars are very popular with car thieves who want to steal it for parts. That’s because the replacement parts of certain models cost more than others. This fact makes make those cars greater targets for theft and will therefore have higher insurance premiums.
    
    
  • Auto insurance companies usually charge higher premiums for cars that tend to cause more damage when involved in accidents
    
    
  • Vehicle insurance is higher for some types of vehicles such as SUV’s
    
    
  • Some cars give people less protection when in accidents. Vehicle insurance will also cost more those cars.
  
  
  
• When you receive your insurance policy, check that the information used to determine your premium is correct.

  In particular, you should verify that:
  

  • Each vehicle is properly classified
    
    
  • Your vehicle(s) make and model are correct
    
    
  • Your mailing and/or home address is correct
    
    
  • All discounts to which you are entitled are applied
    
    
  • All drivers’ age/birth date(s) are correct
    
    

Do You Have a Teen Driver?

• Make sure your teen takes a driver's education course. Even if you have to pay for the course, most insurers will offer a discount. This is both a financial investment and an investment in the well-being of your child.
  
  
• Reward your teen's safe driving. A ticket-free and accident-free driving record will contribute to having the cheapest insurance more than anything else.
  
  
• Designate which vehicle your teen will drive if he or she will be driving a family car.

  If you don’t do that, the auto insurance company will price the premium based on the highest risk vehicle that you have. This will cost you more.
  
  

• Some vehicle insurance has discount for good students. Make sure your teen stays in school and gets good grades.
  
  
• If your teen is away at college, change the policy or take him off it. Your insurance company may have some way that they can cover your teen only for the driving that he does when home on vacations.
  
  

Are You 55 or Older?

To locate a class near you, click here.

Popup Blocker Help

Money Savings Directory

Financial Freedom Trail Home

Back to Top

Vehicle Insurance - All Rights Reserved