According to a survey by NerdWallet, around 28% of Americans feel that they are overpaying for their car insurance. But it is also true that other car owners don’t give a second thought about shopping around and just keep up with their existing policies. Considering this fact, a lot of car insurance companies keep increasing rates when it comes to renewing their policies. If your auto insurance is about to expire or you are buying an insurance, shop around and compare prices of leading national and local insurers.
Consider the minimum coverage requirements in your state
There are four different coverage options available – property damage, physical injury, underinsured/uninsured motorist protection, and personal injury protection. Property damage liability and physical injury are the major requirements in most states but they may vary as per the value and age of your vehicle.
Compare policies
Do comparison shopping if you don’t want to avoid any important concern or red flags. Get quotes from three companies at least. It may take some time but you can save hundreds of dollars in a year. If you are buying auto insurance for the first time, you can avoid assuming that a company is charging the lowest. Compare both local and national insurance providers. Sometimes, regional companies provide better service than leading ones.
Speak the truth
You might want to hide the numbers considering the increasing premiums, so you can get a lower rate. Around 10% of drivers have undervalued mileage internationally, mentioned a different zip code in a particular location, or claimed the car for leisure, not commuting. If you go with this route, you may get lower premiums but you will face trouble when filing a claim. You might face the whole cost of damages as the policy will not be applicable. So be honest and don’t play the odds when looking for car insurance.
Ask for discounts
If you really want to save money, be polite and upfront, and ask for promotions. Ask the type of discounts they are offering, such as multi-car discounts, deals for staff of leading organizations, discounts for good driving records, discounts for choosing paperless processes, etc.