All things that are written on this website are about our experiences and what have
worked for us, or general information only. We are not telling you to do any of those
things mentioned and we do not endorse any products found on these pages. We simply
want to share with you what has helped us. Hope that you enjoy reading our posts
and please come back regularly to read more!
Niche Topics (Money and Lifestyle) is about helping you manage your finances so that
you live comfortably within your means. We share frugal living ideas such as save
money around the house, cheap to make recipes, budget-friendly solutions for everyday
living, recycling crafts, helpful hints to buy things without getting burned, and
All of us want to get the best deal on everything, and auto insurance is no exception.
Cheap doesn't mean it affects the quality of coverage you get. If money is your primary
concern and you want to lower car insurance costs, here are a few some simple ways
to save on car insurance.
How to Get Lower Car Insurance Rates
To find out how much your coverage will cost, you’ll first need to know what factors
a company uses in order to assess your risk to their company. Broadly speaking, the
lower the risk, the lower your premiums.
Insurance companies assign their potential clients to groups determined by factors
such as where you live, your credit score, how many miles you drive, your driving
record, claims record and others.
If you've had previous claims, then you're considered more of a risk than a driver
who has had none so far. Your credit score is also an indicator of your personal
responsibility and general level of caution. These factors will determine the premiums
Did you know that some of the most beneficial coverage costs very little? Roadside
assistance, reimbursement for rental cars in case of an accident and comprehensive
insurance all cost very little but can be real lifesavers in case of a breakdown,
an accident that disables your car or a broken windshield.
The car you drive also factors into your premiums. A sports car with expensive replacement
parts that tempts a driver to high speeds will cost much more to insure than a family
sedan. A car that’s unpopular with thieves will also cost you less to insure.
Auto insurance companies are very competitive. If you think that your insurance company
is charging more than you can afford, you’ll probably be able to find a lower price
from one of their competitors. However, never let your auto insurance policy lapse
as that will indicate that you're a high risk.
One way to save on auto insurance is to choose a higher deductible. Deductible is
the amount of money you have to pay before your insurance company begins paying the
rest. In other words, you pay for the minor dings and bumps while your insurance
company pay for the heavy hits.
For instance, a common deductible amount is $500. If you're involved in an accident
that causes $1,500 worth of damage, you pay $500 and the insurance company pays $1,000.
You could, however, set your deductible to $1,000. This still covers you against
heavy losses, but it may decrease your monthly premium by as much as 30%! Simply
put, the less your insurance company has to pay out, the less they will charge you.
Did you know that you probably qualify for several discounts that can save you money
on your insurance premiums? Most insurance companies give discounts for good driving
records, for living in low traffic areas, driving fewer miles than the average driver,
owning a car with the latest safety devices, and other circumstances you may qualify
When you get a quote, ask about discounts and take advantage of those that apply
Finally, shop around by getting several quotes before deciding. The internet is a
great place to start. It allows you to compare rates and coverage easily and quickly.
Begin by getting 2 to 3 quotes online. Once you have them, check with a local insurance
agent and ask for the same. In that way, you save both time and money.
Remember, making an informed choice in a non-pressured environment is probably best
thing you can do to save on auto insurance.