Do you like your car insurance company but hate your bill? Most people do. The good news is that there are ways to reduce your auto insurance premium without the hassle of getting quotes from different car insurance providers.

Don’t Buy Coverage You Don’t Need
Maximum coverage isn’t always necessary for all vehicles. Use a guide like the Kelley Blue Book or Edumunds.com to estimate the value of your car(s). Don’t carry collision and comprehensive coverage on older cars that are not worth very much. Having “full coverage” does not help much if the value of the car is less than the deductible and or potential payout if the car is totaled.

Request Higher Deductibles
Ask for a policy with a higher deductible and you can save 15 – 40% or more on your auto insurance premium. The only downside to this is that if you are involved in a car accident, you will have to pay more money out of your pocket because the insurance company is covering less of the cost of repair or replacement. However, you can easily work around this by making sure you always have money set aside in the bank to cover the deductible.

Put Your Eggs in One Basket
If you have to purchase other insurance, such as homeowners or life insurance, then try to get that insurance with the same company. Most insurance companies offer discounts to customers with multiple policies. The same holds true if you have more than one vehicle. Insurance companies reward loyal customers for sticking with them instead of going to their competition.

Reduce Your Driving
Many insurance companies offer low-mileage discounts for the obvious fact that if you are driving less, you are less likely to get into an accident. Consider ideas like carpooling with co-workers and walking while doing local errands instead of driving. If you have more than one vehicle, try to use one predominately and save the other for necessary trips only. Make any long road trips with the same vehicle so that you can cut down the mileage on your other vehicle(s).

Talk To Your Agent
Good insurance agents will give you helpful advice on how to lower your auto insurance rate. Call your agent, explain to them that your premium is more than you can afford, and ask what you can do to reduce it. Car insurance companies want to keep your business; they’ll be happy to offer you other options in lieu of you going to another company.

Car insurance is a very competitive business. Some companies may try to sell you coverage you may not need. Assess your own needs and don’t be afraid to negotiate. Many people pay higher auto insurances rate than they have to because they take whatever policy the company recommends and don’t ask the right questions.

About the Contributor: Deborah is a full-time writer and blogger with a passion for perosnal finance. She enjoys writing about bankruptcy and credit repair and has recently made contributions to CreditLoan.com.

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