If you have owned your car insurance policy for any length of time, you might be surprised to know that the rates change every 30 days. As an insured consumer, you have the right to evaluate and check your current policy against new products from other companies. If you find a new product that is cheaper than what you have, then you can switch insurance companies; even if the policy is still active. To help you find the best policy for the right price, here are a few tips to help you save money on your next auto policy.
Consider the Discounts
Car insurance has a lot of discounts that can be applied to help lower the cost. The multi-policy discount is given to people that have moved all their policies to one company. This discount can save you nearly 25 percent off your premium. A second discount that you will want to look for is the good driver discount. This is given to people that have a great driving record. The savings can amount to 50 percent or more of your premium.
Compare, Compare, Compare
Because you have the right as a consumer to compare insurance products, it is important to compare rates and benefits with at least three different companies. Take a look at the benefits to make sure that they are the same. Look over the deductibles and the extra benefits like towing and glass coverage. You want to make sure that each new quote is a mirror of your current policy. This way you can see if you are paying too much for auto insurance.
Insurance companies love safety. So when the company is figuring the rate for your next policy, they will consider the number of miles that you drive per year. You will be asked about the number of miles you drive. If your miles are less than 5,000 per year, you can expect to pay less than a person that drives 12,000 miles per year. Take the time to figure out what you actually drive because it can save you money on your auto insurance.
Car insurance does not have to drain your wallet. By knowing how to compare and lower your rate you can save a lot of money. Take your time to make sure that you don’t miss any key savings, and that your coverage limits match what is currently on your policy.