do you really need the extra insurance?

3 Tips To Help Lower Your Automobile Insurance Premiums

by Rick Mcguinness

Do you feel like you pay too much to insure your vehicle? Are you wanting something more affordable so that you have more money to pay off your holiday spending debt? For many people, the two biggest chunks out of their budget go towards paying rent and paying for insurance. While there may not be much you can do about your rent unless you move somewhere else, there are some things you may be able to do about your insurance to make the cost lower. A few things you can try include the following:

Shop around: The automobile insurance plan you have now may have been the best one for you when you got it, but that doesn't mean it's still the best plan. Rates can fluctuate dramatically even from month to month. If it's been more than a year since you last checked out insurance rates at other companies, now is a good time to do so. Some companies may even offer promotional discounts to incentivize you to switch. Take advantage of this discount and don't be afraid to shop around again once the promotional period has ended. By doing this, you'll always know that you're getting the best rates possible.

Ask about discounts: Don't be afraid to call up your current insurance agent and talk about your automobile insurance plan. Many insurance companies offer discounts if you do things like take a defensive driving course but they won't necessarily tell you about these discounts unless you ask. The only way to find out that these discounts exist is by talking to your insurance agent and asking what sort of discounts you might qualify for. Other discounts may be added if you haven't been in any accidents within a certain period of time or if you're affiliated with a certain organization. Again, the best way to find out about these is to ask.

Different vehicle: If you're thinking about changing your vehicle anyway, taking your automobile insurance plan into account is something that wouldn't go amiss. While you might like to have the latest model, so would thieves. Insurance rates are accordingly higher on newer vehicles than on older ones. Even a difference of just a year or two can be enough to dramatically raise or lower your insurance premiums. Before you walk off the lot with your new car title in hand, call up your insurance company to find out what rate you'll get with that vehicle. If the rate is high, a slightly different make or model may be a better option for you if saving money is important.

Find out more about automobile insurance plans near you to learn more.