If your car insurance bills are getting more expensive and starting to affect your budget, you are not alone. Many drivers spend a lot of money on auto insurance premiums these days. The truth is that many factors can affect the cost your car insurance, such as your age, credit score and how much you drive. But if you are tired paying such high prices, it is time to make some changes. Here are seven effective ways to lower your auto insurance payments:
Improve Your Credit Score
Like it or not, your credit history matters when it comes to determining your auto insurance costs. If you have a poor credit score, insurance companies may think you are more likely to file a claim and charge you more money for your premiums. While this is frustrating, it is possible to improve your credit score with a little hard work. Make an effort to pay more than the minimum balances on your credit cards every month and never pay late. If you have trouble remembering payments dates, consider setting up automatic payments.
Take a Defensive Driving Course
Too many points on your driving record? That can definitely jack up your insurance premiums. One thing you can do is sign up for a defensive driving course. If you take this class with a skilled instructor, you can show your insurance company that you are taking steps to becoming a better driver.
Drive Your Car Less Often
Another effective way you can save money on car insurance is to simply spend less time on the road. The less time you spend driving, the less likely you will get into an accident. This looks good to insurance companies. If you have to drive to work every day, see if you can carpool with some of your coworkers.
Install Anti-Theft Features in Your Car
Adding anti-theft devices to your car will reduce its risk of getting stolen, which will make your insurance company smile. There are several anti-theft features you can buy, including brake pedal locks, mechanical immobilizers and steering wheel locks. Talk to your insurance agent about which specific anti-theft devices can cut the costs of your premiums.
Think Twice Before Buying a Sporty Car
Driving around in a sports car might impress everyone, but expect to pay higher insurance bills because of it. Insurance companies tend to charge higher premiums for sports cars because they are faster and more likely to cause accidents. If you want affordable insurance, it is wise to choose a more practical vehicle with a smaller engine.
Ask About Discounts
There are all sorts of car insurance discounts out there, but you will not know which ones you qualify for unless you ask. The next time you speak to your insurance agent, ask him or her if you qualify for any discounts. For example, if you have a teen driver in the house who made the honor roll, you may qualify for a discount.
Do not Pay for More Coverage Than You Need
It just does not make any sense to pay for more insurance than you actually need. For example, if you drive an older car that you are thinking about getting rid of soon, think about dropping collision coverage. If the car gets totaled in an accident, the money your insurance company gives you might not be much more than what you pay for insurance annually.
Car insurance does not have to break your paycheck. If you follow these helpful tips, you can reduce your premiums and be able to budget your money a lot better. Talk with insurance agents in your area and check it out at different websites for more tips and information.