Auto insurance is necessary to protect you against huge expenses in the case of a bad accident, as well as the inconvenience of being without transportation. Still, it can be a huge expense in itself, and many factors can work against you to raise the cost.
Driving safely (and slowly) is the best strategy to keep your auto insurance premium low. But there are a few other changes you can make that will also help.
Here are 5 tips to help lower your auto insurance premium:
Improve Your Credit
Insurers use your credit history information to calculate the price of your auto insurance policy. This is because research indicates those who manage their credit effectively typically make fewer claims.
A few ways to improve your credit score include paying your bills on time, paying off your credit card every month, and keeping debt to a minimum.
Drive a Low-Risk Vehicle
Before you purchase a new or used vehicle, you want to consider how the make and model might affect your premium rates.
Driving a newer, flashier car is going to cost you more than an older, more dependable one. You should also avoid vehicles that are prone to theft, or those with expensive replacement parts.
Cut Back on Mileage
If you have a high annual mileage, this could be another factor increasing your rate. You can cut back on driving by carpooling, biking, or using public transportation when possible.
Not only is alternative transportation good for your wallet, but it’s also good for the environment!
Move to a Less Populated Area
Another significant contribution to the calculation of your auto premium is the area you live in. Densely populated cities tend to have higher rates of accidents, as well as crime.
Moving to another city just to lower your car insurance premium might sound extreme, but moving to a less populated area could ultimately be the change you need to cut unnecessary costs and build your savings account.
Finally, if you’re looking to pay less for car insurance, you might want to shop around for a better provider.
Unfortunately, not all insurance companies are working to give you the best possible deal. Doing a little research on your other options might reveal you are drastically overpaying on your current plan, or being charged for coverages that you don’t actually need.
Client-Centered Auto Insurance Provider in MD, VA, WV & PA
Here at Antietam Insurance Associates Inc., we work hard to find comprehensive plans that fit any budget. As an independent agency, we work for you, not the big companies.