How Can I Lower The Cost of My Car Insurance

Many teens are obligated to pay car insurance on their own.  This is a huge discouragement considering car insurance can be a very costly monthly expense.  Not many teens who have to pay for their own car insurance have a job to fulfill that expense which is why some teens decide they won’t drive until they have the money to pay that certain amount monthly.  However, not many teens look for ways to save money on car insurance and just give up.  Here are some tips for saving money on car insurance:

  1. Research and find the best rates out there.  Sometimes the best rates don’t  come to you, you have to look for it.  This part takes time because you will have to take the time to compare all the prices and rates.  Go online and get online auto quotes and compare them.  Some websites allow you to evaluate quotes from many different providers.
  2. Look for discounts.  Discounts never hurt and can save you lots of money.  This again takes time because sometimes providers will have a discount sound so good but when you really look at it, it really isn’t that good.  There are many discounts for teens that have taken a driver’s safety course, are a good student that maintains a B average or above, and is a low-mileage driver.
  3. Add yourself to your parent’s policy or ask your parents to do that for you.  Depending on the carrier, sometimes car insurance will be cheaper if a teen is on their parents’ policy.  If you carrier allows you to sign yourself to your parent’s car, it will cost less to insure.  However, in that case, you would have to drive your parents’ car.  If you can’t add yourself to your parent’s policy then buy your own policy.
  4. Be careful when you pick your car.  Car insurance companies take into consideration the kind of car the teen is driving.  Look for a car that consists of the latest safety equipment and a strong safety record.  This is what car insurance companies like to see, not the latest sports car.  Getting a car that looks a little “boring” could work out in your favor because they are less prone to theft and vandalism which lowers premiums.
  5. Drive Safely! Car insurance companies scrutinize the records of teen drivers.  If you have had a suspended license, car accidents, or showing signs of breaking traffic laws your premium will be higher.  The safer you drive the lower your premium will be.
  6. Choose higher deductibles.  This has risk but it can do you good.  Paying a deductible after an accident might amount to more than you have saved.  Although this has some risks, it is something to consider because in the end it can lower your premiums.
  7. Look for adult discounts.  If you are a policyholder, make sure you look for discounts that will increase your savings.  There are many discounts you could be eligible for if you are a good driver, own a safe vehicle, and took a safe driver class.

Car insurance can have many loop holes and can get very expensive.  But with these tips, you will increase your savings to up to 50% on premiums.  It is worth putting your time into researching so you have save as much money as you can.

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