5 Surprising Car Insurance Savings Opportunities
You don't have to switch insurance companies to save on your car insurance!
Today there are more and more ways to save money on your auto insurance. Many vehicle owners assume they will get the lowest rate available as soon as they request a quote. That is not always the case.
Being a smart driver means knowing what discount options are available to you. You may find a wide range of savings opportunities to help reduce your premium. Nothing is more important than being a safe driver. These five areas can help reduce costs, though.
#1: Don’t text and drive.
Consumer Reports found that insurers are raising rates for drivers who text and drive. If you receive a citation for this, you can expect your rates to jump. The organization found drivers saw a 16 percent increase in their rates when they had a citation. Any type of distracted driving citation could raise your rates.
#2: Driving less can cut your costs.
Make sure to have an honest discussion about your driving habits and how often you are behind the wheel. If you spend your day driving you are at an increase risk of negative driving occurrences, whereas if you don't drive that often why would you pay for the same risk rates as heavy driving counterparts. You know driving less and walking or biking more is good for the environment. It can help you save money, too. If you do not drive your vehicle often, let your car insurance company know. They will likely ask you for your approximate yearly mileage.
#3: Be picky about discounts offered for technology.
Technology is a growing area of development in vehicles today. In the future, car insurance providers will have more data to make key decisions about just how safe a driver is.
Let your insurer know about the technology your vehicle offers. This includes things like collision preparation systems, IoT connectivity, and features like driver alertness monitoring. Connected vehicles may also be able to allow their insurer to track their driving. In doing so, they could see a cost savings for reduced driving.
#4: Get a new policy when you are an older teen.
Here’s a surprising way to save on auto insurance for your teen. As your teen reaches 18 and 19 years old, have the teen request a new quote from a new insurer. Doing so could help them save. Also, note that girls tend to qualify for lower rates sooner than boys. When you reach the age of 25, request a new quote as well.
#5: Going green could cost you green.
Electric vehicles are still very expensive. If you have a hybrid vehicle, you will often pay more for insurance compared to the same model in standard design. This may change in the future. However, you may want to consider this before you buy a new electric car.
Talk to your auto insurance provider to find out which discounts can help you save. Ask for the money savings – they do not always give you ever discount.