10 Proven Tips for Finding Cheap Car Insurance That Works
Finding cheap car insurance that doesn’t compromise on coverage can seem like a daunting task, but trust me, it’s completely achievable. Whether you’re a first-time buyer, looking to save on your current policy, or just shopping around for a better deal, there are plenty of strategies that can help you score affordable car insurance. In this post, I’m going to share 10 proven tips that helped me find cheap car insurance that actually works—without cutting corners on coverage.
1. Shop Around and Compare Quotes
The first thing I learned when looking for affordable car insurance is that it’s essential to shop around. Don’t settle for the first quote you get! Rates can vary widely from one insurer to another, and I quickly found that comparing multiple quotes is the key to finding a great deal. I used comparison websites like The Zebra and Gabi, which let me compare quotes from several insurers all at once. It saved me so much time and helped me find the best price.
2. Opt for Basic Coverage
If you’re really focused on saving money, I found that sticking with the minimum required coverage in your state is the most cost-effective option. In most states, that means getting liability insurance, which covers the damages you cause to other drivers and their property. It’s the most basic form of insurance, and it’s usually cheaper than full coverage. Keep in mind, though, that this won’t cover your car, so it’s not always the best option if you have a newer vehicle or want more protection.
3. Increase Your Deductible
One trick I used to lower my premium was increasing my deductible. The deductible is the amount you pay out of pocket before your insurance kicks in for a claim. By raising my deductible from $500 to $1,000, I was able to significantly lower my monthly premium. It was a great way to save money, but I made sure I could afford the higher deductible in case I ever needed to file a claim.
4. Take Advantage of Discounts
Insurance companies love giving discounts, and I made sure to take full advantage of every one I could find. Here are some of the discounts I used to save money:
- Good driver discount: Because I had a clean driving record, I qualified for a safe driver discount.
- Bundling discounts: I bundled my car insurance with my renter’s insurance, which saved me a decent amount each year.
- Low-mileage discount: Since I don’t drive much, I made sure to mention this to my insurer and got a lower rate.
- Student discount: If you’re a student with good grades, you might qualify for discounts too. I saw this work for my niece, who saved a lot with State Farm.
Be sure to ask about any discounts when you’re getting quotes. Some are automatic, but others you’ll need to ask about.
5. Maintain a Good Credit Score
I didn’t realize this at first, but your credit score actually plays a huge role in determining your car insurance premium. Drivers with better credit scores tend to pay less because insurance companies see them as lower-risk. If your credit score isn’t great, I recommend working on improving it before shopping for insurance. Small things like paying off credit card debt or disputing any errors on your credit report can lead to lower rates.
6. Choose a Car That’s Cheaper to Insure
The type of car you drive can make a big difference in how much you pay for insurance. If you’re looking for cheap car insurance, it’s a good idea to consider how much your car will cost to insure before buying it. Generally, smaller cars or vehicles with great safety records are cheaper to insure. I learned this when I switched to a more practical, older car, and my insurance rate dropped significantly. Sports cars, luxury cars, and cars that are often targeted by thieves tend to cost more to insure.
7. Avoid Unnecessary Add-Ons
When I was first shopping for insurance, I was tempted to add extra coverage options like roadside assistance and rental car coverage. While these features are convenient, they can add up. I decided to remove any coverage I didn’t need, especially since my car was older and I didn’t need collision or comprehensive coverage. Take a look at your policy and remove any add-ons that aren’t essential for your situation.
8. Drive Safely and Avoid Claims
One of the simplest ways I’ve found to keep my car insurance affordable is to drive safely and avoid making claims. The fewer accidents or claims you file, the lower your rates will be. Many insurers also offer safe driving programs, where they track your driving habits and reward you for being a cautious driver. Companies like Metromile and Root Insurance offer telematics-based insurance, where you can earn discounts for good driving behavior. It’s an easy way to keep costs down, especially if you don’t drive much.
9. Consider Usage-Based Insurance
If you don’t drive often, you might want to consider usage-based insurance (UBI). This type of insurance bases your rates on how much and how safely you drive. With UBI, I only pay for the insurance I need based on my actual driving habits. Insurers like Metromile and Allstate’s Drivewise offer this type of policy. It’s perfect for people who don’t drive a lot and want a more customized policy to save on premiums.
10. Review Your Policy Regularly
Once I had settled into my car insurance policy, I made it a habit to review it every year. Life changes—whether it’s moving to a new location, getting a new car, or adjusting your driving habits—and these changes can affect your premiums. I check my rates annually using sites like Insurify to make sure I’m still getting the best deal. Sometimes, insurers offer new discounts or promotions that you can take advantage of, so it’s worth reviewing your policy regularly.
Conclusion
Finding cheap car insurance is all about balancing cost and coverage. By following these 10 proven tips, you can keep your premiums low without sacrificing the protection you need. Shop around, take advantage of discounts, drive safely, and review your policy regularly—these simple steps can help you find affordable car insurance that works for you.
Ready to start saving? Use comparison tools like The Zebra and Gabi to compare quotes and find the best deal on your car insurance today!
