How to Lower Car Insurance: 9 Strategies That Work

If your car insurance went up at renewal even though your driving did not change, you are not alone – and you are not stuck with it.

Car insurance is one of the few bills where the same coverage can cost very different amounts depending on who you ask and what you ask for. That means a little effort can go a long way. You do not have to settle for the first price you are given.

Loyalty should be rewarded. When it is not, it is time to shop around.

Why premiums rise

Insurers regularly adjust their prices, and the rate you were offered as a new customer often is not the rate you pay years later. Discounts you qualify for may never have been applied. And coverage that made sense for a brand-new car might not make sense today.

Three moves that make a difference

• Compare at every renewal. Get quotes from at least three insurers before you renew. It is the single most reliable way to make sure you are not overpaying.
• Ask about every discount. Safe driver, bundling home and auto, low mileage, paying in full, paperless billing – ask for the full list and make sure each one you qualify for is applied.
• Review your coverage. Check your deductible and your coverage on older vehicles. Make sure you are paying for protection you actually need.

Take back control

Lowering your premium is not about cutting corners on protection. It is about making sure every dollar you pay is working for you. A single afternoon of comparing can pay off for the whole year ahead.

Get all 9 strategies

Our complete guide walks you through nine practical strategies – from usage-based insurance to choosing your next car with insurance costs in mind.

Let us do the shopping

Short on time? Frugal Haven can compare options and look for discounts on your behalf, so you get the savings without the phone calls.

This article provides general information only and is not insurance or financial advice. Discounts and rules vary by insurer and state.