Tips and Tricks to Getting Auto Insurance Discounts

how do i get auto insurance

As a recovering car fanatic who has literally bought and sold 8 different cars in the past 10 years I’ve come to appreciate the intricacies of getting a good deal.  One of the most important things people don’t think about when they are about to buy that fancy European automobile is how much car insurance will cost.

On an absolute dollar level, driving a $50,000 car could cost anywhere between $2,000-$3,000 a year, depending on your record.  At 4-6% of the annual cost of your car, car insurance is a big deal!  The irony is, the cheaper the car you buy, generally the higher car insurance is as a percentage of your total cost.

Take my dear Moose, for example.  He’s worth maybe $5,000 on a good day if the electrical gremlins aren’t flashing on the dashboard.  Without going into details of what my car insurance plan entails, I pay roughly $80 a month or $960 a year.  $960 is much

cheaper than $2-3,000 in the $50,000 example above, but $960 is a whopping 19.3% of the total value of my car every year!  In just 5.5 years, I’ll have paid more insurance than the value of the car itself!

Hence, the great irony is that driving an expensive car is better value for your insurance dollar money.  What my point also illustrates to you is that driving a car has many more expenses than just gas and maintenance.  Car insurance is a big one, which is why it’s important to try and save as much money as possible.

Here are 12 tips on how to find auto insurance discounts and make the most of them:

1.Be a good driver.

A clean driving record is the best way to keep your insurance premiums low.

2. Choose a safe vehicle.

Many insurance companies offer discounts to policyholders who drive cars with good safety records.

3. Drive less.

Source: www.financialsamurai.com

Category: Insurance

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