- Shop Different Carriers
Rates can vary widely between major insurance companies. One company may deem you an average risk, and charge you an average rate. While another may find you to be a preferred risk, and give you a much lower rate. A couple ideas to make shopping easier include contacting an independent agent or using an online quoting website. Independent agents have access to multiple carriers and can guide you to the best company without the pain of making lots of phone calls. For the web savvy, various online quoting websites are popping up to help find the cheapest company for you as quickly as possible.
- Bundle Policies
Policies grouped together are almost always cheaper than policies insured with different companies. The multi policy discount is a great way to save money on insurance. If you are insuring multiple cars, homes, and toys then insure them all with the same company to maximize your savings.
- Verify all Discounts Available
Insurance companies are notorious for odd discounts. Know all the possible discounts and verify which ones you are receiving. A couple of discounts to inquire about are the homeowner discount, paid in full discount, and good student discount. Regardless of how many discounts a company offers, it is the final price that counts.
- Keep a Clean Driving Record
Safe drivers get some of the best rates. If you are looking for the cheapest rate possible sometimes it can come directly from your own actions. Set your cruise control, turn your cell phone off, and consciously pay attention to the road.
- Good Credit
Good credit is another example of how your actions can influence your insurance rates. Whether you agree or disagree, most insurance companies are basing your rate off of your insurance credit score. Keep your credit score high and your insurance score is sure to follow. A great insurance credit score can leverage surprisingly low insurance premiums.
- Avoid Fees
Look for ways to avoid extra fees. Lots of insurance companies charge payment fees. Essentially they are charging you for the processing and paperwork of your bill. Paying your premium in full or having your payments taken automatically out of your bank account could save you some money. Late payment fees can be even higher so be sure to pay on time. Also, find out if combining multiple policies into one billing account can lower fees.
- Get the Right Coverage
The coverage you carry on your vehicle is a personal choice. Determine the value of your vehicle and weigh the value against the cost of full coverage. Be smart; if you are not driving one of your vehicles put it in storage. If you do not know all your coverage options, get advice from an experienced agent.