When people are reviewing their financial affairs, they likely see a number of areas where they would like to cut back. They can decide that they are going to stop purchasing designer bags for a while and that they are going to clip coupons before they visit the grocery store. However, they may feel as though they have no control over the cost of their car insurance — but that isn’t the case. People can try a variety of strategies to get big savings on that currently big number.
1. Shop around for other insurance plans. When individuals are unhappy with their current individual plan, they should begin to obtain price quotes from other companies. Simply doing so could save them a significant amount of money. Also, they may decide to use those price quotes as negotiating power. If you have discovered a price that is significantly lower than what you are paying now, you should call your company. Find out why one quote is so much less than your current premium, and the company may express a willingness to better meet your financial goals.
2. Just ask. Whether you are calling to try to negotiate because of another price you saw or simply because you are tired of paying so much money for car insurance, you can just ask the customer representatives if any current discounts are available for your policy. When you have them on the phone, you can ask if they can please check your account to make sure you are taking advantage of all the options. By asking simple questions, you may discover that you are eligible for discounts that you never knew existed.
3. Maintain a good driving record, and encourage your children to perform well in school. Obtaining a copy of your driving report from your state Department of Motor Vehicles is a smart idea. You want to make sure that everything was correctly reported to your insurance agency. An inaccurate piece of information on the report could be the reason why you are paying so much money. Ask your provider if you are eligible for a discount after a certain period of time with a good driving record.
In addition to rewarding you for strong driving skills, your insurance company may also reward your children for maintaining good grades in school. If any of your kids are on your policy, find out what grades they need to receive the discount.
4. Take a defensive driving course. Many car insurance companies are willing to reduce the price of your premium if you are willing to take a defensive driving class. You may say that you do not have the time to travel somewhere to take a course. Fortunately, you can take these classes online now too. Find out what you need to do to register. Then, plan a day where you and everyone on your policy can take the course. Doing so can save you a significant sum of money. Once you are done with the course, you will likely need to submit proof of completion to your insurance company, so make sure you pay attention to the directions.
5. Make a list of all the organizations you belong to and any jobs that you have. Simply working for a particular entity or maintaining membership in a specific club can provide you with discounts on your insurance. Some insurance providers have a number of affiliations; however, they are not always active. Instead of simply tossing these affiliations to the side, ask the customer service representatives to please add them to your account. That way, if and when they do become active in the future, you can receive the discount.
Right now, you may feel as though you are stuck with a tremendous payment when it comes to car insurance, but so many methods exist for reducing it that you can get out of that rut before long.