Are you concerned about the rising premiums on your car insurance? Are you trying to figure out how to get your budget under control so that you can afford to insure your vehicle? The problem may not lie with your budget but instead with your auto insurance. If you want to cut down on your spending, here are some of the best ways to lower your insurance premiums:
Switch companies: A lot of people stick with the same auto insurance company for years, thinking that they will get some sort of loyalty discount. Unfortunately, the opposite is often true. In an attempt to lure people away from another insurance company, rates are often lower for new customers and are slowly raised over time. For the best rates, it's a good idea to do a comparison at least once a year to see if anyone can offer you a better price on your insurance premiums.
Driving fewer miles: Some auto insurance companies offer much lower rates if you restrict your driving to a certain number of miles every year. This can be a significant savings if you have a second vehicle that you don't use much or if you live extremely close to where you work. In order to keep this discount, your insurance company may want you to take your vehicle in to a mechanic once a year to confirm how much or how little you drove your vehicle in the past 12 months.
Good student discount: When your teenager starts driving, you may be astounded by how much your premiums skyrocket. You may think that this is simply the cost of having a teen driver, but that's not always the case. If your child gets good grades in school, some auto insurance companies may offer a discount that is based on their report card. The better your student does in school, the better a discount the company is likely to give you.
Ask for a lower rate: If you like what your current auto insurance company offers, it's worth at least calling up your agent and asking if you qualify for any discounts. If you haven't had any accidents in a while or if you are willing to switch your homeowner's or rental insurance policy to the same company as your car insurance, you may qualify for further discounts. At the very least, it doesn't cost you anything to ask whether or not they can lower your rates as an incentive for not switching to another company.
Contact an auto insurance company for more information.