This is part 2 of a 2 part series teaching you how you can save money on your auto insurance. Before I discussed how age and the type of vehicle affects your insurance rates. I also advised you to stay away from a new financed car, as you’ll be forced to get the most expensive full coverage insurance. Now I’m going to let you in on some other ways you can save money on your car insurance premiums.
There are countless auto loan comparison sites around. Get quotes from as many companies as you can to find the best rates possible. Don’t be afraid of choosing a company you haven’t heard of before. Due some quick research on them and you may find out they are just as reliable as State Farm, All State and Farmers, they just don’t spend as much in advertising (which is probably why their rates are lower).
Auto insurance companies give discounts for a wide variety of reasons. There are discounts to members of the military, nurses and teachers to name a few. Discount are also given to good students and those with a good driving record. You can also obtain an additional discount if you get your homeowners and/or life insurance with the same company.
Opt to pay your insurance premiums in advance for 6 months. Many insurance companies will charge you a fee if you opt to make monthly payments. Even if the fee is just $4 per month this is an extra $48 per year you are throwing away. Be smart and establish a savings account so you’ll have enough money to cover your car insurance premium payment every six months.