How to save money on car insurance

Category: Insurance

Male driver's hands driving a car on a highway (color toned image; shallow DOF)

If you plan on buying or leasing a car, auto insurance is an unavoidable expense. There are a lot of factors that determine your car insurance rate, and for a lot of drivers, their premium is almost as much as another car payment! But here are some ways you can save money on car insurance, including:

Carefully consider the car

If you’re in the market for a new car, keep in mind that the make and model you select can have an influence on your car insurance rate. Some cars will simply be cheaper than others when it comes to car insurance, so once you have your options narrowed down to a few different choices, you may want to compare car insurance rates for each car before you make any final decisions.

Consider the level of coverage

There are a lot of different types of car insurance out there, but not all of it is required. Depending on your budget and the type of car you have, you may just want to opt for the bare minimum coverage. For example, if you’re driving a used car with a lot of miles on it, you may only want to consider liability coverage. Do the math to determine if you’re paying way more than you need to be to protect a car that doesn’t have a lot of value.

Attend traffic school if you receive a citation

If you recently received a traffic ticket, there’s a good chance you’ll see an increase in your car insurance rate. However, depending on your specific circumstances, you may able to prevent any increase in your car insurance rate by attending traffic school. Although you’ll need to pay for traffic school, it usually won’t cost nearly as much as a car insurance premium increase would. There’s a good chance you’d qualify for traffic school if it’s your first traffic citation and if the offense was minor, but this will depend on your exact situation, plus the laws in your state.

Bundle your insurance

Does your car insurance carrier also offer other types of insurance, such as homeowners insurance? If you haven’t already, ask about bundling your insurance, and find out if you’d receive a better rate by switching to them for some of your other insurance needs.

Receive a new quote

If you’re already paying for car insurance and you’ve paid the same high premium for a long time now, it may be time to receive a new quote. Whether through your current insurance carrier or through a different one, you may qualify for a lower car insurance rate if certain things in your life have changed since you initially obtained your current car insurance policy. For example, if you’re now over 25, you’ve gotten married, you’ve moved, or you haven’t gotten any tickets or been in any accidents in a few years, you may be eligible for a better car insurance rate.

Are monthly bills and expenses beginning to pile up? If you’re receiving periodic payments from a structured settlement or annuity, Peachtree Financial Solutions may be able to help get you some extra cash. At Peachtree, we can buy all or a portion of your future payments and send you a lump sum payment. Catching up on bills and expenses can be so much easier by receiving cash upfront. Contact Peachtree Financial Solutions today to learn more about selling future payments for a lump sum!

Nothing above is meant to provide financial, legal, or tax advice. You should meet with appropriate professionals for such services.

Tags: buying a car, car insurance, traffic school

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