Researching car insurance companies can be a daunting task. There's a wide variety of plans and monthly premiums out there.
But when it comes to choosing affordable insurance, you're usually your own best advocate. Many car insurance companies offer discounts for eligible participants. However, it's your job to figure out what you qualify for and to compare rates.
Here's a guide to finding affordable insurance without getting ripped off.
1. Begin With the Car
The year, make, and model of your car determines what you pay for your comprehensive coverage and collision coverage.
The newer and more expensive the vehicle is, the higher the premium is.
If you're in the market for a new car, buy one that's inexpensive.
2. Know Your State
Most states require you to purchase some type of car insurance.
Typically, this is a liability insurance, which covers damage done to another vehicle. You can read about the minimum coverage requirements in North Carolina here.
3. Go For the Highest Deductible
Taking a high deductible is an easy way to lower your premium.
If you go for an annual deductible of $1,500 as opposed to $500, you'll pay less upfront. But, you will foot more of the bill if you get in an accident.
4. Boost Your Credit Score
Many car companies check your credit score before calculating your premium.
The higher the credit score, the more affordable quote you'll be offered. You can boost your credit score by paying your debts off on time.
5. Compare Online
There are a variety of factors that go into determining your premium.
Make sure to research both local and national companies. Once you've compiled a list of possible companies, check the Consumer Information Source website. This site tells you the number of complaints a consumer filed against a company in a given year.
You should also check the own company's website for positive testimonials.
6. Ask for Discounts
Car insurance companies offer all kinds of discounts. However, you need to be proactive and ask about them.
Some common discounts are:
- Student driver with good grades
- Safe driver
- Anti-theft device installed
- Those signed up for automatic online bill payments
7. Pay Upfront
Car insurance companies will often reward customers for their loyalty.
Those willing to pay 6 months to a year up-front will get a more affordable rate than those who pay month-to-month.
Depending on what your finances allow, you should aim to pay as much upfront as possible.
8. Look Into Usage-Based Coverage
Do you not drive very often?
If so, you could save money by purchasing a miles-based policy instead.
These affordable policies track your driving through odometer readings to make sure you're keeping your mileage low.
9. Assess Annually
Your life can change a whole lot in one year.
Moving, switching jobs, or driving less are all great reasons to review your policy. You can also figure out if you're eligible for any additional discounts.
Affordable Insurance: Wrap Up
We hope this article helps you narrow your search for finding affordable insurance.
If you have any questions during your search, please don't hesitate to drop a comment or contact us today.