50 Ways to Save on Auto Insurance

1. Shop around. Don’t settle on the first car insurance company you run across – impatience or apathy could cost you. Compare the rates, coverage, and discounts of several companies before making your final decision.

2. Check into group auto coverage. Any clubs or organizations to which you belong could offer group rates for auto insurance. Credit card companies are known to do this, too. Ask about these member benefits.

3. Get added to another driver’s policy. Teens who are added to their parents’ car insurance policies pay much less than teens who purchase their own policies. The same goes for spouses. Figure out who gets the cheaper rate, and drop the more expensive one.

4. Stay covered under your parents’ policy. Just because you’re headed to college doesn’t mean you can’t still take advantage of the money-saving opportunity of sharing a car insurance policy with your parents.

5. “Spin off” of your parents’ policy. When you’re ready to get your own car insurance policy, many companies will allow you to “spin off,” and give you a lower rate for doing so. Ask your agent about this money-saving trick.

6. Don’t be afraid to add your teen. Adding your teen, who is considered an inexperienced driver, may raise your rates; however, at the same time adding your teen may make you eligible for a multi-driver discount.

7. At the same time, don’t be afraid to add another vehicle. Many auto insurance companies offer discounts to policy holders who have more than one vehicle covered under the policy.

8. Check the company’s licensure. Only purchase a policy from an insurance company licensed to sell car insurance in your state. If you have problems with them, your state’s department of insurance can only help you if the insurance company is licensed in your state.

9. Contact your state’s department of insurance. Not only can your state’s department of insurance offer suggestions for saving money, as well as which companies may suit you best, but they can also give you a heads-up on insurance companies you should avoid.

10. Speak with the Better Business Bureau. The BBB can let you know about any complaints that have been filed against the car insurance company you’re considering.

11. Check the company’s financial rating. An insurance company with a strong financial rating is more likely to have you covered in an emergency, as well as less likely to go bankrupt. Check with independent research companies for financial ratings of the insurance companies you have in mind.

12. Purchase multi-line insurance. If your homeowner insurance company offers car insurance too, you may save a few bucks by purchasing both policies.

13. Look into discounts for retired folks. Some insurance companies, and organizations in general, will offer car insurance discounts for retired people.

14. Ask about low-mileage discounts. If you only drive a low average of miles per year, you may get a discount. If you don’t spend much time on the road, make sure to tell your agent.

15. Ask for good driver rewards. Some insurance companies will give you premium discounts and other rewards for being accident- and/or ticket-free for a certain period of time.

16. Look into good student discounts. Aside from getting a discount for taking a driver education course, your teen may also be eligible for discounts when he or she makes, and keeps, good grades in school.

17. Get a farmer discount. If you have vehicles used for farming-purposes only, you may be able to get a discount.

18. Inquire about new car discounts. Although new cars usually require full coverage insurance until they’re completely paid for, some auto insurance companies do offer new car discounts.

19. Drive like a woman. Statistically, female drivers are involved in fewer accidents. Follow suit.

20. Ask for information on all discounts. Discounts can vary from company to company, so find the insurance company that offers the most discounts that will benefit you.

21. Respect your driving record. Car insurance companies look at your driving record when determining your policy quote. An increase in points could raise your premium as well as make it difficult for you to get affordable insurance later on.

22. Drive safely. Not only will this benefit your driving record – and your life – but it will also put you in the running for any good driver rewards your auto insurance company offers. Driving safely helps prevent accidents and violations.

23. Examine your credit history. Car insurance companies may look at your credit history when determining your quote. Your credit score can’t be fixed immediately, but as you work on it you may qualify for a lower rate.

24. Pay your premiums on time. Many of life’s events can cause us to get behind with bills, but being late on your auto insurance payment can cause cancellation and even a late fee. Plus, it won’t look good once renewal time rolls around.

25. Be faithful to your insurance company. As a token of gratitude, your auto insurance company may offer you a discount if you stick with them long enough.

26. Review your policy from time to time. You may find that you’re paying twice for the same kind of coverage.

27. Check out other companies at renewal time. Don’t just blindly renew you’re policy when you get a notice in the mail. Take a minute or two to check out other auto insurance companies to see if lower premiums await you.

28. Take a driver education course. Most high schools throughout the nation offer driver education courses as part of curriculum. Make sure your teen takes the course, or enroll him or her in a private course. While you’re at it, enroll yourself.

29. Take a defensive driving course. Similar to a driver education course, a defensive driving course will teach you the techniques you need to operate you vehicle as safely as possible.

30. Enroll in a course for mature drivers. Regardless of how long you’ve been driving, it’s always helpful to sharpen your skills. Insurance companies like to see this, and some even partner with mature driving courses.

31. Purchase the minimum. Each state has a minimum requirement for liability insurance or proof of financial responsibility. If your financial situation just won’t allow full coverage, purchase the minimum for right now.

32. Know that cheap doesn’t always mean better. We all want the cheapest car insurance rate we can get, but remember: it’s not worth sacrificing coverage. You want to look for the insurance company that offers the best coverage at the most affordable price.

33. Raise your deductible. When your deductible is higher, your premium is lower. It’s common sense.

34. Think about auto insurance when you purchase your car. Auto insurance companies charge higher premiums for expensive, flashy, fast vehicles than they do affordable, modest vehicles. If you don’t absolutely have to have the red hot two-seater convertible, don’t get it.

35. Purchase a car with many safety features. Auto insurance companies like to know that you’re taking every precaution you can to ensure your safety, as well as the safety of your passengers, other drivers, and pedestrians. Some safety features include anti-lock brakes, traction control, and child-proof locks.

36. Check the vehicle’s safety rating. You can spare yourself the time, and extra cost, of adding additional safety features if you purchase a car that already has a high safety rating.

37. Consider a vehicle with lane departure warning technology. Lane departure warning (LDW) is a relatively new feature that warns groggy or inattentive drivers when their vehicles begin to switch lanes, or go out of bounds, without signal.

38. Install an anti-theft system. Just like all safety features, auto insurance companies love knowing you’re protecting your vehicle.

39. Protect your vehicle when not in use. This is especially important for drivers who live in cities and other areas prone to crime. If you don’t have a garage, consider renting safe, well-lit parking spaces as opposed to parking on the street.

40. Contact your agent when you make changes. Let your auto insurance agent know whenever you make these safety changes to your car. How else will you reap the discount benefits?

41. Avoid modifying and customizing your car. Making modifications or customizing your vehicle may look cool, but changes like these usually result in higher auto insurance premiums.

42. Don’t pay month-by-month. Paying your car insurance premiums every six months, or once a year, averages out to be lower than paying month-by-month.

43. Keep note of your accident claims. Think twice about filing a claim for every dent and scratch your car acquires. These kinds of damage are usually cheaper and quicker to fix than if you filed a claim, and each claim you can avoid helps you get lower auto insurance rates, and additional discounts.

44. Try not to use your vehicle for certain occupations. In other words, pizza delivery men usually pay higher car insurance premiums than someone who doesn’t use their vehicle for work.

45. Check out comprehensive storage coverage. If you plan to store your vehicle for a certain period of time, you may be able to switch your auto insurance policy up a bit and save money with comprehensive storage coverage.

46. Ask about EFT payments. As with several other kinds of insurance companies, some auto insurance companies charge a fee for payments-by-mail. Find out if you can sign up for electronic fund transfers. Or, pay in person.

47. Abide by court orders. This probably isn’t the kind of auto insurance tip you’d expect, but drivers who are convicted of vehicle-related crimes are often ordered to attend certain kinds of classes. Satisfy the court and show your insurance company you’re getting back on track.

48. Keep a steady job. Insurance companies feel safer offering low auto insurance premiums to policyholders who hold steady jobs.

49. Tell your agent you work from home. When you work from home, you drive your vehicle less, and driving less puts you at a lower risk for accidents and traffic violations. Of course, you should only tell your agent this if you really do work from home.

50. Keep auto insurance coverage. Even a temporary lapse in coverage can make it difficult for you to obtain another auto insurance policy, much less a cheap one. Try not to lose coverage for longer than necessary.