If you are driving a vehicle on the road, you must have car insurance. Insurance protects you financially if you have an accident. They will cover any liability you may have if you cause an accident. And depending on your policy, they may also provide medical coverages. There are a few ways to save on auto insurance:
Telematics: There are a growing number of insurance firms that are offering a “telematics” or “black box” insurance policy. This requires the driver to have a GPS device installed in the car to track how the vehicle is being driven. In exchange for you using this device, the insurance company will offer you a slightly lower rate. The important thing to remember is that you or whomever is driving the vehicle has to drive well and safely.
Packages: Many insurers offer package discounts if you carry multiple policies with them such as automobile, homeowners or apartment, boat, RV, etc.
Discounts: There are periodical, seasonal or holidays discounts. Most insurers offer a wide variety of discounts. If you are a member of AAA, AARP or other organizations, inquire as to whether or not your insurance company offers a discount for the group that you are a member of. Ask if they have a safe driver discount also if you have an excellent driving record.
Higher deductibles: Opt for the highest deductible possible. A deductible is the amount that you pay whenever there is an accident or other insurance-covered situation. Try to make sure you have the money saved and on hand in case you ever do need to apply it to a situation.
Shop around. There are companies like don allred insurance that you can contact to get the best rate for you.
Do you need to have the latest vehicle with all of the newest features and technology or can you get away with just basic transportation? One of the best ways to save on insurance is to drive an older vehicle. The newer the vehicle and the more coverage you need, the higher the insurance cost is going to be. With older vehicles, depending on the cost, you may or may not need collision coverage. Collision pays for physical damage to your car. That’s a big savings right there. If you get a basic car for a few thousand dollars, then all you need to get is liability coverage. Keep in mind, however, that is something happens to that car, you will have to get your own replacement vehicle.
But with an older car, you pay much less for insurance and for property taxes. So, if this is something that you think can work for you, look into it.