How to Save Money on Auto Insurance Quote or Premium

Most people are unaware of how to save money for their auto insurance. Let's find out how to shop and save some money.


Step 1
Drive safely - avoid accident and ticket

All accidents may increase your insurance premium, usually for 3 years. If you haven’t had an accident for 3 years, make sure to ask your agent to recalculate your premium.

If you get into a minor accident in which yours is the only vehicle involved, you may better want to pay out of pocket instead of reporting a claim.

Speeding tickets and other moving violations can also increase your premium, it will stay in your insurance record for 3 years. If you only get one ticket within 18 months, you should go to traffic school to clear the record.

Step 2
Review your policy at each renewal

Make sure that all your discounts still apply, and check to see if you may be eligible for additional discounts. Get rid of coverage you don't need. If your car isn’t worth much now, you may be better off dropping the some coverage.

Step 3
Add your child's name under your insurance

Make sure to apply for Good Student Discounts. Rates for teenager do go down a little after the driver turns 18, and the price go down further when they turn age 21.

Step 4
Group and professional Discount

If your profession is engineer, lawyer, etc. or a member of a professional organization, you may qualify for discounts.

Step 5
Update your insurance policy if your situation changes

If your situation changes, you’ll want to make sure your policy reflects that. If you get married, moved to a good neighborhood, commute to work has shorten, or if you’ve installed a car alarm, your rates may be reduced because of these changes.

However, if your commute is longer, or if you’ve moved to a neighborhood with higher loss rates, your price could go up.

Step 6
Buy all your insurance from one company

You should always combine all your insurance (auto, life, home and etc) together and insured by one company to save money. This should save you a lot of money.


Resources

DriveTime
Yahoo! Autos