7 Interesting Insurance Tips to Help You Save Money

Make your paycheck last longer by getting the best price on insurance.

Answer Financial, the self-proclaimed original insurance comparison company recently offered up seven tips to help you save money on your car insurance. We found a few more and some other interesting facts about insurance.

Seven Tips

Tip 1 – Don’t miss out on Discounts

If you’ve had major changes in your life over the last year, such as a recent move, or bought a new home, changed jobs, you probably qualify for new discounts.

Tip 2 – Shop Around Before You Buy

Insurance rates can vary significantly from one company to another. To avoid overpaying, compare quotes from multiple insurance companies.

Tip 3 – Combine Policies

Bundling your auto insurance policy with a renters or homeowners policy can save you up to 15%.

Tip 4 – Drop Coverages

If your car is paid off and 10 years or older, consider dropping comprehensive and/or collision coverage. If the value of your car has depreciated enough, you may be better off carrying liability-only.

Tip 5 – Increase Your Deductible

Another quick way to cut your insurance rates is to increase your deductible from the standard $500 to $1,000.

Tip 6 – Check Your Odometer

If you are overestimating your drive miles, make appropriate adjustments and you may see the savings on your bill. You can also set up a carpool to save gas and mileage.

Tip 7 – Make a Commitment

If you’ve found a great policy, opt for a 12-month premium option if offered. This could save you money, but remember this advice comes from an insurance comparison company, so make certain the policy is right for you.

Additional Tips

Get married: Believe it or not, young married couples pay less for car insurance than single people, up to 28 percent less.

Pay your bills on time: Insurance companies may check your credit-based insurance score. It tells them if you’re financially responsible and how well you manage risk.

Move: This is drastic but if moving happens to be in your immediate future Insure.com compiled a list of the 10 states with the lowest average auto insurance rates:

  1. Ohio ($926)
  2. Maine ($964)
  3. New Hampshire (963)
  4. Idaho ($1,053)
  5. Iowa ($1,058)
  6. North Carolina ($1,060)
  7. Wisconsin ($1,087)
  8. Virginia ($1,114)
  9. Vermont ($1,149)
  10. New York ($1,173)

Additional facts include, competition among insurance companies, natural disasters, the number of uninsured drivers in your state, and state insurance laws also impact the cost of car insurance. But that shouldn’t stop you from finding the best possible rates.

Gary Herman, President of Consolidated Credit says…

“It’s interesting to find out how many things we can do to save money rather than spend it. From proper credit card management, to paying our bills on time to hunting for the best car insurance rates – the opportunities are there for the taking if we just look for them.”

For more ways to reduce your transportation expenses in your budget, visit Consolidated Credit’s free guide to Cutting Car Costs.