Car insurance is not only essential to keep you away from a financial disaster if you get into a road accident, but it is also mandatory in almost every state. Drivers need to have car insurance policies to drive a car legally.
While drivers need to have mandatory car insurance policies to drive a car, they should get optional auto insurance policies to ensure they are properly and securely covered against all the different types of accidents.
But finding good cheap car insurance is very difficult and takes a lot of effort. Remember that it is not about getting cheap car insurance but excellent car insurance that is affordable and worth every penny.
So to help you get great car insurance and prevent you from overpaying, here are all the ways you can find some significant cheap car insurance policies while saving a lot of money. Let’s get started.
Compare the Companies
The best and most effective way of making the right choice and getting an excellent and affordable car insurance company is by comparing all the options. There was a time when this was not possible, but now, with the coming of the internet, not only is it possible, but very quick and easy.
There are multiple websites that offer the option to select numerous car insurers and compare everything they offer, from the policies, coverage limits, price of the policy, additional features, etc. You need to be patient and keep searching.
Here is another important and helpful thing you should know. When you are looking for car insurance, make sure you keep your search as specific as possible to get the most accurate results.
For example, if you are a resident of Illinois, make sure that you search for the best Illinois car insurance companies that offer the best coverage at the most affordable prices.
Remember that cheap car insurance should not be the only factor to look out for. An affordable insurance policy that provides the best coverage for the price is what matters.
Check Your Insurance Claims History
Improve Driving Record
Low car insurance rates are directly related to your driving record. A person with a better driving record will always get lower car insurance rates than someone with a poor driving record.
Road accidents, speeding tickets, rash driving, points on your driver’s license, or the worst one, DUI charges, all lead to higher car insurance rates because it shows that the person is very likely to be in a car accident and make an insurance claim, which they do not want.
So keep your driving record clean, or improve it. Follow the traffic laws, avoid speeding, and never mix drinking and driving. Doing all of this will dramatically lower your insurance rates.
Drop Some Policies
Staying completely insured against all the various ways your car can get damaged is recommended. But sometimes, when you want to cut down insurance costs and the price is not worth what you are getting, you can drop some optional insurance policies.
For example, consider collision insurance. It is an option but a critical insurance policy that covers the cost of repairs for your car in an accident. But at the same time, it is also costly. You can save a lot of money if you drop this policy.
If your car is very old, a secondhand vehicle that you got from your grandparents or parents, and it has been damaged and fixed multiple times, it is better to skip collision coverage for it.
You are better off fixing the car yourself in a garage or mechanic shop than making an insurance claim, paying the deductible, losing your no-claims bonus (if any), and getting a price hike in future car insurance rates.
The same is true for comprehensive insurance. Comprehensive insurance covers the cost of repairs needed for the car if it gets damaged while parked or it gets stolen. So falling trees, projectiles, earthquakes, floods, etc., along with damages due to riots, vandalism, and theft, are covered.
But if you live in a safe locality and keep your car inside a closed garage, then you can skip comprehensive insurance and save some more money on insurance policies.
Get All Available Discounts
Discounts always bring a smile to the face, no matter how small. But many people either forget to ask about discounts or do not ask at all. There are always some types of discounts that you can get, only if you ask.
For example, there is a “Good Student” discount for college students who already have to bear the burden of expenses and low income. So if you are a student who gets good grades, ask about this discount program, and you can save some considerable money.
Apart from this, there’s the “Veterans” discount for people who have served or are serving, and then there are discounts for people who pass defensive driving courses or something similar.
Since the discounts vary by auto insurer, no matter which car insurance company you choose, make sure you ask everything about all the different discounts you can get to save money.
Insurance bundling is an excellent way of saving some money when you have to buy multiple insurance policies. For example, let’s say that you need to purchase car insurance and home insurance. You can buy it from two different companies.
Or if you buy both from the same company and bundle them, you get a sweet discount of anywhere between 3% to even 8% off the total price. Plus, bundling insurance policies makes it much easier for you to manage them.
So consider getting different policies from the same company unless some other company is offering the same policy with the same coverage at lower rates.
When everything fails, deductibles work. The deductible amount of your insurance policy is the small amount of money you need to pay before the insurance company pays the rest. You can set your own deductible amount for the policy.
Higher deductibles reduce the cost of your insurance premium, while lower deductibles increase it. So you can increase your deductibles and lower insurance premium rates but do know that in case you get in a car accident, you’ll have to pay more from your pockets.
Finding great car insurance at an affordable price is very difficult, but possible. Find out how you can get good cheap car insurance.