10 tips for Cheaper Auto Insurance

Auto insurance is mandatory in almost every state. Drivers are still financially responsible for their vehicles even if they don’t have insurance in all states.

10 Tips for Cheaper Auto Insurance

1)In some states you can get a discount for taking a defensive driving course. The courses are easy and inexpensive to take and the discount usually lasts for up to 3 years. The discount can be as much as 10% and many insurance companies offer it voluntarily.

2) Buy all your insurance policies from the same company and they usually offer a loyalty discount. Youi – a popular insurance company in Australia offers the highest discounts for loyal customers and you should definitely check their rates. Home, auto, life and renters can usually be bought from them. For example State Farm offers renters insurance along with your auto insurance package. My insurance cost 25 dollars less a month than just having auto alone.

3)Paying in full. Paying for 6 months or a year at a time if you can will save you money. Monthly payments include a service and handling charge making it cost more.

4) The type of car you drive affects your cost as well. The cheapest to insure are considered family vehicles such as minivans. If you are buying a new vehicle check rates on several models you are interested in.

5) Good credit rating will save you money as well. Studies show that people who who have good credit are less likely to have auto accidents.

6) Membership in groups like AAA and AARP and labor unions can qualify you for insurance discounts. You should check with organizations you have memberships in to find out if you qualify for preferred customer discounts.

7) Higher deductibles on collision and comprehensive insurance will lower insurance costs. This means the driver will have to pay more out of pocket if they have an accident. Be sure to check with your auto finance company to see what they will allow for deductibles.

8) Safety features and anti theft features usually are given a discount. Some companies offer discounts for airbags, anti-lock brakes, collision avoidance systems and other safety features that reduce the risk of accidents or protect against injuries. Active and passive alarms for your car offer discounts as well at many insurance providers.
One person died in this three-car crash. (KATU News photo)

9) Safe driver discounts are offered for no accidents or claims in a certain period of time, usually 3-5 years.

10) Maintaining a clean driving record with no citations for moving violations saves money on auto insurance. A single violation can raise insurance rates and disqualify you for some discounts that would save you money.

These 10 tips can be used by drivers of any age. Contact your provider to see if they offer discounts for any of the above.