How to Lower Car Insurance: 9 Strategies That Actually Work

Car insurance is a must-have, but that does not mean you have to overpay for it. These nine strategies can help you lower your premium without leaving yourself underinsured.

1. Compare quotes regularly

Insurers price risk differently, so the same driver can get very different quotes. Compare at least three insurers before each renewal.

2. Bundle your policies

Combining auto insurance with homeowners or renters insurance from the same company often earns a discount.

3. Raise your deductible

Choosing a higher deductible typically lowers your premium. Make sure you keep enough savings to cover it if you need to file a claim.

4. Ask about every discount

Common discounts include safe driver, good student, multi-car, low mileage, anti-theft devices, paperless billing and paying in full. Ask your insurer for a full list.

5. Try usage-based insurance

If you drive safely or not very often, a telematics program that tracks your driving may reward you with a lower rate.

6. Review your coverage on older cars

If your car’s value is low, the cost of collision and comprehensive coverage may outweigh the potential payout. Compare the premium to the car’s value.

7. Improve your credit

In many states, insurers use credit-based insurance scores to set prices. Paying bills on time and reducing debt can help over time.

8. Keep a clean driving record

Avoiding accidents and violations is one of the most reliable ways to keep premiums down. Some insurers offer discounts for completing a defensive driving course.

9. Consider the car before you buy

Insurance costs vary by make and model. Get a quote before you buy your next car.

Let us do the shopping

Frugal Haven can compare options and look for discounts on your behalf. Learn more about car insurance savings.

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

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