4 Easy Methods For Reducing Your Car Insurance Premium

Posted on: 25 February 2020

If your car insurance premium is a little more than your budget allows for, you can make adjustments to your coverage that will help immediately lower your premium and save you some money on your bills for the moment.

Easy Way #1: Increase Your Deductible

One straightforward way to reduce your premium is increasing your deductible. Your deductible is what you pay when you have a claim. For example, if you were to damage the front end of your car in an accident, and the repair costs $1500 and you have a $500 deductible, you would pay the $500, and your insurance would cover the other $1,000.

By increasing your deductible, your insurance will go down because the chance that you will use your insurance will be decreased, and the amount of money your insurance company will pay out if you get into an accident will also decrease. Your insurance company will reward you for this cost-saving measure with a lower premium.

The key to raising your deductible is keeping it at a rate you can afford. You don't want your deductible to be so large that can't afford to pay it if something happens to your vehicle.

Easy Way #2: Employment Discount

Many large employers work with insurance companies to offer discounts for their employees. If you work for a large company, ask your insurance copay if they have any special discounts available for employees of that company. This can be an easy way to grab a small discount on your premium.

Easy Way #3: Ask About Safety Discounts

Most insurance companies offer a variety of discounts if you have certain safety features on your vehicle. They may not give you these discounts outright but will give them to you if you ask for them. Call up your insurance agent and ask to go over the safety features your vehicle has, and make sure you are getting a discount for all of them.

Easy Way #4: Check Your Extras

Finally, check to see what extras you are paying for. Are you paying for roadside assistance when you already get that assistance through another source? Are you paying for rental car insurance that you don't need because you have a second vehicle you could drive if anything were to happen to your primary vehicle? Are you paying for gap insurance, but you recently paid off your car? Make sure you are not paying for extras you don't need.

Lower your insurance premium by increasing the deductible, see if you can get any employment or safety discounts, and trim away extra coverage you don't need. Contact a company like Crowel Agency, Inc. to learn more about car insurance.

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