Auto insurance is something that you need if you plan on driving. Most states have a minimum amount of auto insurance that you must carry to be able to drive. You will also want to have a policy in place in the event of an accident. While auto insurance is a necessity, it can be pricey. The average yearly premium is $1,758. Rates are often determined by factors that you have little or no control over, such as your age or gender. But, there are a few ways to save. Here are three things to do if you want cheap auto insurance.
Skip Collision or Comprehensive Coverage
There are different types of auto insurance coverage. Collision and comprehensive policies offer the most coverage. Collision coverage will cover damage to your vehicle in the event of an accident. Comprehensive covers damage from accidents and other things such as the weather, vandalism, and more. Both types of coverage have maximum payout limits equal to the current value of your vehicle. If you have a new or high-value car, collision, or comprehensive coverage is a good idea. But, if you have an old vehicle with a low market value, you can skip these types of policies and save a lot of money.
Go With a Higher Deductible
Another thing that you can do if you want cheaper car insurance is to go with a higher deductible. Your deductible is what you will pay upfront before your insurance pays the rest. The average auto insurance policy has a standard deductible of $500. But, higher deductibles are available. If you go with a higher deductible, you will see your insurance premiums go down. However, make sure that the deductible you choose is something that you can pay if you are in an accident.
There are plenty of auto insurance companies out there that want your business, and many of them offer competitive rates. Shopping around is the best way to find cheap auto insurance. You will find that some insurers offer discounts that others don't. Small differences in how a company calculates its rates can also be favorable. By shopping around you and getting multiple quotes, you will find the best deal on auto insurance. Also, make sure that you include local and regional insurance companies in your search in addition to national companies. Casting a wide net is a good idea.
If you are looking for cheap auto insurance, there are a few things that you can do to find the least expensive policy. First, skipping collision or comprehensive coverage can save you a lot of money. A higher deductible will also mean lower yearly premiums. Finally, shopping around is essential for finding a less expensive policy. Contact a company like Illinois Insurance Center Inc to learn more.