Best Ways to Save Money on Car Insurance

Are you looking for some of the best ways to save money on car insurance. It may seem like a daunting task, but we were able to save more than $1,000 a year on our car insurance.

Have you ever taken the time to look over how much you are paying for car insurance? We finally took the time and were able to save $1200 a year! Check out some of the best was to save money on car insurance.

At the end of last year my husband and I took a close look at all of our monthly bills to figure out how we could continue to lower our monthly expenses. Normally when we do this we find simple ways to save money in our budget like cutting out luxury items and not eating at restaurants as often.

This time we tackled our larger expenses. One of the bigger ones included our car insurance. This had been something that I wanted to do for quite some time but I just kept putting it off. I probably wrote it down on my to-do list over 100 times. It just seemed like a lot of work to take the time to lower the amount of money we paid out in car insurance. Honestly, it was one of the best things I have done.

I was always complaining about how much we paid out in car insurance but I never took the time to do anything about. Once we became proactive in lowering this bill we were able to see that it was possible to save money. We were able to save over $1,200 a year!

During this process, I learned two things. One, we were definitely over paying for car insurance, and two, with a little bit of work we could cut out bill in half. Now, you may not have the same results we did, but you may be surprised with how much money you can save each month on this necessary expense.

So, I made a list below of some of the best ways to save money on car insurance. You may have even tried a few. My mistake was I had heard of these ways from family and friends but I never actually tried to implement them. I recommend taking the time to evaluate each of them to see if you are able to utilize the tip to help yourself save money on car insurance.

 

Best Ways to Save Money on Car Insurance:

1. Do not just go with the first company you come across. Even though it may seem like you are getting a deal you will not really know until you compare quotes from other insurance companies.

This was one of the mistakes we made. When we got married, my husband and I just continued to use his agency without taking the time to see if they were giving us the best possible price. Once we started actively trying to lower our yearly car insurance bills we were able to find a company that offered the same coverage for about $500 less.

At first, it was heartbreaking to see this. I was shocked to know that for years we were paying $500 more than we needed to.

Try making a list and writing down what each company has to offer. We had a hard time making a claim because it was all done over the phone. Once we switched we were able to meet with our agent face to face, which made things much easier.

 

2. Combine policies. This was a game changer for us. We were using a different company for our car insurance and homeowners insurance. Once we combined the two we saved a significant amount of money. It was crazy to think of how much money we lost by having these two policies separate.

Our insurance company offers a discount for using their agency for both of our insurance policies. This alone saved us a few hundred dollars a year.

Have you ever taken the time to look over how much you are paying for car insurance? We finally took the time and were able to save $1200 a year! Check out some of the best was to save money on car insurance.

 

3. If you do not drive a lot, you can try contacting your car insurance company see if they offer mileage discounts. Most companies will give you a discounted rate if you stay under a certain milage a month or even per year. The less you drive the less you are at risk of having an accident.

We were able to save a little bit of money by contacting our new insurance company. We have a primary vehicle on our policy and then a second vehicle that is only used for work and has low miles so we receive a monthly discount for it.

 

4. Although this seems very obvious, you need to be a safe driver. It has a huge effect on how much money you can save on car insurance. Our company offers discounts and bonuses for each year that we go without any accidents or violations.

 

5. Reviewing your policy for any new discounts and possible ways to save is always good to do on yearly basis. If you have a teen driver you may be eligible to receive a discount for having a good report card or any other specials your company has to offer.

Look over your coverage and deductible. Even though increasing your deductible will cost you more when you make it a claim it is an easy way to save money now. I recommend taking the time to figure out how much money you can save by making a small increase to your deductible. Look at the price difference and add it up over a year or two to see if it is beneficial.

 

Saving money on car insurance may seem impossible, but it really isn’t. My husband and I spent some time figuring out what we could do to save money and were able to cut our expense in half. Even though it is not fun it is totally worth doing.

What do you do to save money on car insurance, please leave a comment below!

 

Have you ever taken the time to look over how much you are paying for car insurance? We finally took the time and were able to save $1200 a year! Check out some of the best was to save money on car insurance.

This Post Has 33 Comments

  1. Another strategy we’ve used is to call up and ask the insurance company if there are discounts we could qualify for if we did something – like join an associated organization or took a defensive driving class. When I was using GEICO, they gave me a list of organizations I could join to save 7% off my insurance. One of them was the National Military Families Association and I joined for $15 and saved close to $50 – a no brainer.
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  2. I’ve never heard of mileage discounts before. I will have to check how many miles we drove last year and see if that’s something we might qualify for. I know we don’t drive a whole lot on a regular basis, but we do occasionally take short trips. Thanks for the tip!

  3. We are using two different companies for our home insurance and auto insurance. Neither are robustly expensive, but to think that we could save even more money by bundling is great! I will definitely look into that.

  4. It is amazing how much I saved by shopping around and bundling my policies together. Researching and comparing services before going with any company – is always best.

  5. I am planning on getting my first car in May. Currently, I only have health insurance, but I definitely plan on getting auto insurance as well. In this post, you talk about combing homeowners insurance and car insurance, but is it possible to combine health insurance with it? I don’t have homeowners insurance just yet and don’t plan to for a while either.

  6. I’m at that magical point in my life where I need to find my own auto insurance. This is my first time ever doing this, so I have no idea what to look for in a good provider. This helped me a ton though, and I plan on taking my time and looking at many different policies and companies before I choose.

  7. You have already added all the relevant points, Adeline. I just want to say that your car model itself can save you money if you choose one with lower Engine Capacity (cc). This refers to your car engine in cc, the lower the cc, the lower the premium.

  8. This is great info to have for saving money on auto insurance. I didn’t know that there were discounts for mileage but I’ll need to look into that. Thanks for the helpful auto insurance tips.

  9. This is some really great information for anyone looking to save on their monthly auto insurance premiums. I had never thought about mileage discounts, but it makes a lot of sense that if you don’t use your vehicle too often then you ought to pay less for insurance. And it always surprises me how many people don’t realize that driving safely is the main part of your insurance costs, and if you have accidents then that will definitely show. Thanks so much for writing!

  10. Asking auto insurance companies for mileage discounts seems like a great idea. I usually only drive five miles to go to work and come back home every day. Having a discount for driving very few miles would help make paying for car insurance easier.

  11. These are some great tips, and I appreciate your advice to see if you can get mileage discounts on your car insurance. I work really close to where I live, and most days I end up walking, so I don’t drive very much. I’ll definitely look into contacting my insurance agency to see if I can save some money because I don’t drive very far. Thanks for the great post!

  12. Not picking the first auto insurance company you talk to is a really good tip. A friend of mine really likes to call around and see the benefits of each company. I’ll have to follow this advice since I’m looking at going with a new insurance company pretty soon. Thanks for the awesome advice and info!

  13. Thanks for this helpful post on ways to save money on car insurance. I have very little knowledge when it comes to auto insurance rates, or how to get good deals on auto insurance. I really like your tip on combining policies. I will have to search for some way to combine my policies. Thanks for the help!

  14. I loved that you point out how important it is to be a safe driver. If you are a safe driver, not only are you keeping yourself and others safe but you are showing the insurance company that you’re not a liability. Checking with the insurance company on any discounts they offer for safe driving would be helpful.

  15. Thank you for this helpful post! I am old enough now that I can no longer be on my parents car insurance and had no idea what to do. This helps give me ideas on how to start looking, thank you!

  16. Car insurance can be expensive, so thanks for the tips for saving some money. I didn’t know that some insurers actually offer discounts to those of us who don’t drive very much. I don’t drive a ton, so I might have to look into this.

  17. It would be a smart idea to ask about any and all discounts you can apply for! You can ask for student discounts, good driver discounts, non-drinker, and others! Just ask the auto insurance company what they offer. Hopefully that will help to lower your rates.

  18. I completely agree that the best way to save money on car insurance is to just drive safely. Most people already know it, but accidents make your insurance climb, so it’s much better to keep safe and stay out of accidents. I’m so glad my wife and I are safe drivers; it doesn’t mean an accident couldn’t happen, but at least it decreases the chance that it is our fault.

  19. I have never thought to combine policies before. It sounds like you saved a lot of money when you did that. That is a good point to bring up with my husband, we just may try it out! Thanks for the advice.

  20. Your tip about not going with the first auto insurance company you come across is really helpful. I found a company that I like, but it was the first one I researched. It would be a good idea to compare lots of quotes from lots of companies so I can be sure I’m getting the best deal with the best coverage.

  21. This is a very good tip in saving money on car insurance. I should try this out and see if it will work. But I highly doubt it will. I’m glad it worked for you and your husband. Thank you for this amazing advice.

  22. Hey Buddy,

    I like your post a lot. The tips you have mentioned for saving money on car insurance are just awesome.Nowadays everyone thinks of saving their money and the tips you provided will definitely help them in saving their money.

    But I want to say one thing that is ver important and must be taken into consideration when we are going to buy car insurance. The factor that we must take care of is that when we are buying insurance we must see to it that the insurance policy has maximum covers and it will help you out in future if some mishappen occurs.

    I hope this factor would be considered by all.

    Thank you! 🙂

  23. Though this is good but one thing, You have as of now included all the significant focuses, Adeline. I simply need to state that your auto show itself can spare you cash in the event that you pick one with lower Engine Capacity (cc). This alludes to your auto motor in cc, the lower the cc, the lower the premium.

  24. I’m trying to find a good way to get my car insured. It makes sense that I would want to save money on it! I’ll be sure to actually look at different companies instead of just choosing the first one that I find.

  25. I like your tip to ask the car insurance company for discounts if you do not drive a lot and have low mileage. It’s also a good idea to find out what other discounts are offered. A lot of companies will give you a good discount if you’re a student and you have good grades.

  26. I am in need of new car insurance, but I am wanting to make sure that I am able to find the best one for me. I like how you made that point that if I don’t drive a whole lot then I should see if they offer mileage discounts. It would be nice to not have to spend so much money on insurance each month for a car I rarely drive.

  27. I liked that you pointed out that yes you need to be a good driver. It can be easy in stop and go traffic to get frustrated and start driving poorly. So, it does seem like a good thing to be aware of when you are a trying to save money on auto insurance.

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