Over the last year, we have learned new ways to save and budget both our time and money. If you are one of the many people looking to tighten up your budget – and who isn’t? – it is best to begin with your regular monthly payments. Many feel that because car insurance is a necessity, they have no choice but to pay the auto insurance premiums as presented. However, there are actually many ways that a driver can lower their premium and save hundreds of dollars over the course of their policy. Here are a few of our favorite tips.
Ask About Discounts: There are a wide range of discounts available to drivers, no matter if they are a new driver or a seasoned veteran of the road. While many disocunts are automatically generated, others must be applied for – so ask your insurance provider if there are any discounts you qualify for but are not receiving. Expert Tip: Tell your insurer what you do for a living. Some professionals, such as first responders, are often eligible for discounts.
Affinity Discounts: Your car insurance company may offer affinity discounts to those drivers who belong to associated organizations, such as those who have AAA or are AARP members. These discounts may come from unexpected places, such as financial institutions, credit card companies, or college alumni associations. Be sure to ask your insurance provider for a list of affinity discounts oyu may be eligible for.
Bundle Your Coverages: Experts say that individuals who bundle their coverages save an average of 10% across all policies. This includes covering all cars in the household under one policy, and then bundling home, auto and life insurance policies with one provider. Because you are placing all of your protection into one provider, you’ll want to be sure that they are financially stable and highly rated. Ask your insurance agent to help you find the best bundle and provider for you.
Consider Your Parking Situation: Many people don’t realize just how much their parking space affects their auto insurance premiums. If you park your car in a residential driveway or parking garage, your premiums will be lower than if you park on the street. This is due to the fact that some parking situations have proven to be more susceptible to the car being vandalized or stolen. If you live in an urban area, you may find it more cost effective to pay for a spot in a parking garage. Be sure to check all of your options.
Take Driving Lessons: Driving lessons aren’t just for teenagers. If you have had some accidents on your record and it affects your auto insurance premiums, sign up for some driver’s education classes. Even if you have a clean driving record, you can choose to keep your skills sharp. Be sure to ask how going back to school can hepto lower your premiums, while bolstering yor knowledge and skill.
Accurately Report Your Mileage: Premiums are lower for those who use their car only for local errands, versus those who drive long distances on the highway to get to work. Many people have had a change in their work situation over the last year. If you used to coomute but now work from home, chances are excellent that you will be able to lower your prmium. Seniors who only drive occasionally also can see great savings.
Keep Your Credit Score Up: Auto insurance providers often look to your credit history when setting your premiums. Pay your bills on time and show responsibility with your money, and over time you are likely to see lower auto insurance premiums.
Drive Safely, and Prove It: Of course, safe drviers will have lower premiums than those prone to accident. But good drivers can further lower premiums by allowing their auto insurance provider to place a telematics device in your car. These devices show your insurance provider that you not only stay out of accidents, but that you follow traffic rules and do not drive recklessly.
Finally, if you are a good driver with a clean record, you may wish to raise your deductible. Your monthly premium will be lower if you agree to shoulder more of the financial burden should an accident occur. While this can significantly save money on a monthly basis, be sure you have the ability to make the larger payment should an accident occur.
Do you need more help? Call Anderson & Associates Insurance Group today. We provide auto, home, business, life insurance and more to Sarasota, Palmetto and Bradenton residents.
