03 Aug How to Save Money on Insurance

Shopping for insurance, while necessary, tends to be an exhausting task that no one looks forward to. Choosing the right policy could save you hundreds or thousands, and choosing the wrong one could cost you more. Shopping for insurance doesn’t have to be a chore! Just follow these tips on how to save the most money and get the most protection.

1. Research

One of the biggest mistakes you could make while shopping for insurance is assuming that all providers will have similar prices for similar risks. However, most insurance companies tend to have a wide range of prices. Researching which company has the best package for the best price can often save anywhere from fifty to two hundred dollars. It’s also a good idea to check what kind of discounts you might be eligible for. Discounts are often available for multiple policyholders, hybrid owners, taking driver safety classes, or even for being a good student.

2. Deductible

It might sound counterintuitive to pay more up front in order to save money, but purchasing the highest possible deductible will make the premium cheaper, especially when it comes to health insurance plans. However, when it comes to car insurance, if you have a higher deductible, you might wind up having to pay more out of pocket for repairs in the case of an accident. Make sure to carefully plan what you can afford, and then choose which deductible is best for you.

3. Shop Frequently

Shopping around for car insurance isn’t just important when you buy your first policy – when it comes time to renew, look around at what other companies are offering. Rates and policies change every year, and there are dozens of websites that allow you to compare prices. By not shopping around, you could be losing out on a lot of cash.

4. Credit Score and Driving Record  

Keeping a good credit score and a clean driving record can both save you a good deal of money on a lot of insurance policies. Insurance companies tend to use these as ways to analyze how risky you will be as a customer, and your quote can increase or decrease depending on these records.
Research and a little bit of hard work are the best way to ensure that you are finding the best policy for the best price. Through shopping around, keeping your driving record good and your credit score high, you can save hundreds on your insurance.