Auto Insurance - Saving Tips
There's something your car insurance company or agent isn't telling you that might save you money. And it could be one of the following :
- Drop collision. if your car is worth less than about $3000.? That's the time to start thinking about taking the risk and dropping comp and collision premiums from your policy. Chances are your deductible is closing in on the value of your car and any major collision will send you to the dealership, anyway.
- Some time higher premium for liability may mean saving your life savings. Getting Minimum liability on your insurance especially in states such as Ohio, Pennsylvania, South Carolina, Nevada, New Jersey and Oklahoma where state-mandated limits are ridiculously low is not good enough. There's a good chance these minimums won't even come close to covering the costs of a serious accident. Which means you could be paying WAY more than you bargained for if you're at fault.
- You'd think that having your home and auto insurance bundled at the same company would save money. Not Necessarily. Do your research, and you may discover that having separate policies can be well worth it. Good rates abound for both types of insurance – but it's rare to find the lowest rate for both from the same company. There's no good reason to keep your policies together if you can save.
- Always shop around for lower rates. You will be surprized how much you can save by making a few calls.
- Consider paying smaller claim yourself. Although accidents can only affect your rates for three years, many companies will look back five or more years when deciding if they want to offer you insurance. Having more claims will affect that result.
- All vehicles are not created equal. Small or large, old or new, the type of car you drive will affect the size of the premium you pay, often based on algorithms insurance companies use to determine how expensive it might be to pay a claim. It might be worthwhile to take this in consideration before buying your next vehicle.
- You can pay your car premium with credit cards. A reward credit card can get you hundreds of frequent flyer miles, cash back or money towards car purchase etc. Not just for car insurance premium you may be able to pay all kinds of premiums such as your home owner insurance, title search cost etc. when you are refinancing or getting new mortgage.