5 Tips to Save Money on Auto Insurance in USA
Buying auto insurance is like driving blindfolded. If you send your details to a dozen insurance companies your E-mail box will be flooded with a dozen different quotes from several companies. Some of them being twice as expensive as others. Insurance companies calculate premiums by taking into consideration multiple factors, including age, driving history, and type of car, model, etc.
But if you are already insured, check your policy to see what you are paying for and follow these steps to save money on auto insurance in USA
1. Compare competitors often
Comparing before buying helps in big savings. Check out several different insurance companies every 2 or 3 years. The situation at the time of buying the auto insurance policy might now be different. For example, if you drive fewer miles then it may reduce your bonus a bit. Or maybe the company has adjusted its subscription or rating in ways that help, or hurt, your bottom line. You get little benefit from clinging to the same insurer year after year. Remember that the “long-term customer discount” is, for the most part, a myth. Insurance companies now consider whether you are experienced. If yes, then premiums will drop, which makes it a good time to buy. And getting married can help, too. Two people in their 30’s who get married and combine policies can save a decent dollar per year compared to what they would pay as singles.
2. Consider multiple factors
Try comparing car insurance quotes online on sites such as TheZebra.com, which uses data from Quadrant, a private company that collects and analyzes rate documents supplied directly by the insurance companies. It offers estimates of 18 to 35 insurers, depending on the state. That compares to the mere 3 to 10 quotes provided by other sites, including insurance.com, compare.com and nerdwallet.com. Your objective should be to be save money and at the same time get maximum coverage with maximum discounts.
3. Consider increasing overall and auto accident deductibles
Accident insurance covers damage to your vehicle caused by impact with another car or object, regardless of who is at fault. Comprehensive insurance covers theft of your vehicle and damage from fire, flood, a falling branch, and so on. The average driver files accidental claim only once every 5 to 10 years, according to the Insurance Information Institute. The higher your deductible, that is, the amount you pay before the insurance begins to cover, the lower your premium, especially for car accidents.
4. Make sure you are protected with relevant coverage
Make sure you get sufficient liability coverage. It is recommended to have 100/300/100 coverage, which pays for bodily injury up to $100,000 per person and $300,000 per accident, and property damage up to $100,000. And buy uninsured/under insured motorist coverage with the same limits, in the event you are hit by a hit-and-run driver or an under insured driver.
Finally, for greater protection against liability, consider a comprehensive policy. A $1 million policy typically costs about $200 to $400 per year.
5. Check rating of insurance companies
Ratings demonstrate the overall satisfaction of CR underwriters with auto insurance companies over the past two decades. An affordable policy will not help much if the company provides partial service or makes it difficult for you to pay a claim.