If you own a car, insurance is a necessary expense—but to save on car insurance is not outside of your control. Maybe you can’t do anything about where you live or substantially decrease the amount of driving you do, but you still have plenty of options available to decrease your car insurance premiums.
Here are five ways to save on car insurance:
5.) Decrease Your Coverage
If you’re still making payments for your car, your lender probably required you to purchase collision coverage. However, if you’re driving an older car that’s already paid off, reducing your coverage to liability only will substantially lower your premium. Keep in mind doing this means insurance won’t pay for repairs to your car if you’re the one who caused an accident. You can also decrease your premiums by raising your deductible—but make sure that amount is still within your ability to afford if something happens to your car.
Meanwhile, in a situation where you have vehicle problems or an accident and your car is being repaired, one way to save on car insurance after an accident, is if you have another vehicle, you don’t need to pay for rental-reimbursement coverage.
Another way to save on car insurance and decrease coverage is dumping roadside assistance if you have an auto club membership or if it’s part of your new car warranty. Think carefully before adding extras such as legal expenses cover, windscreen cover or use of a courtesy car to your car insurance package. Including too many add-ons is not a good move if you are trying to save on car insurance.