Lowering Your Car Insurance

Car insurance can be expensive. Here are some tactics to lower your car insurance.

Auto insurance is a necessary evil. While you may be struggling to fit your car insurance premium into your budget, it is unwise to live without it. Basic auto insurance is required by almost every state. In states that do require auto insurance uninsured drivers are looking at potential fines, marks on their driving record, and paying for their own repairs when something happens to their car.


Drivers who live in North Hampshire and Wisconsin may not be required to have car insurance, but they are still expected to take financial responsibility for any car damages and injuries in a car accident when they are at fault. If you hit the wrong car at the wrong angle, you could be looking at a $50,000 bill that you must pay without help from an insurance company.  Car insurance may not always be required, but car accidents are too common not to invest in car insurance. That being said, here are a few ways to decrease your monthly premium.  


Never settle for the first insurance company that you stumble upon in your Google search. Research the available car insurance in Dallas or your equivalent area. Car insurance prices and deductions differ based on the insurance company you choose and your current location. By shopping around, you will be able to determine what insurance company has the best policy available for you. While low prices are easier to fit into your budget, you should not confine your research to monetary concerns; the last thing you want is an insurance company that has poor customer service and a history of trying to wiggle out of paying valid claims—even if you are saving $50 a month on your insurance premium.


Purchase an older car. While you may be at the point in your life where you do not want to drive a rolling deathtrap, you can still forgo that new sleek car for an older, used car. Usually the older a car is, the less expensive the insurance premium will be. This has to do with the fact that older cars have a lower market value, and are less expensive to repair. If you do buy an old car, I would recommend recruiting a car savvy friend to vet any vehicle you are considering.


Enroll in a Defensive Driving Course. Defensive driving courses can lower your premium by 5 to 10%. You can enroll in your school’s driver education program, a local driver’s education school, or an online class. You need to make sure that the class has been endorsed by the state’s Department of Public Safety and Motor Vehicles. The driving course is designed to make you a better and more aware driver. This will make you less of a risk to insure.


Ask about a Student Discount. The student discount is available to college and high school students from the ages off 16 to 24 that earn grades in the B to A range. If you or your child qualifies you will be looking at a 5 to 10% discount. You’ll need academic proof that the student on your insurance policy qualifies for the student discount. Academic proof includes the current grade card, a signed form from the administrator of your school, or a standardized test that is in the top 20% of the national population.


You might also qualify for a Multiple Policy Discounts. Insurance agencies reward customers that sign up for multiple policies with them. The first multiple policy deal that you could qualify for is the home and auto insurance discount. For people who own homes, you can save up to 20% on your premium. Families with multiple cars or individuals who are car enthusiasts might qualify for a multiple-car discount. This will save them up to 20%. Just remember to check out the driving record of any potential co-signers. Signing with a driver who has a history of recklessness could increase your monthly premium.


While car insurance may be an unfortunate expense, the cost can be manageable if you proactively search for the best car insurance deals in your area. Just remember that insurance rates will fluctuate based on your own actions over time. Black marks on your driving record could increase your insurance premium and years of accident free driving might decrease your insurance premium depending on your insurance company’s accident free policy. It will be up to you to ensure that it will be a decrease.

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