6 Simple Ways to Save on Car Insurance in 2022
The best way to save on car insurance in 2022 is to review your policy and use the following information to make reductions. The better your driving record and the less you drive, the more options you have to reduce auto insurance costs. Here are some easy tips to save on car insurance in 2022.
1. Increase your deductible
Your deductible is the amount of cash from your own pocket to pay for damages when you find a claim. An auto insurance deductible typically costs about $500. That means you pay the first $500 in costs related to the accident then your insurance company covers the balance. You can reduce your monthly auto insurance premiums by increasing your deductible. This strategy works for people who use their cars minimally to get around because they have a lower risk of getting into an accident.
2. Consider lower coverage for older vehicles
Older vehicles often don’t cost as much to insure because of the wear and tear factor. Usually, a car loses value the older it gets unless the owner fixes it up. New cars attract vandals and thieves, which is partly why they cost more to insure. You might not want to pay as much insurance with an older vehicle since fixing damages won’t add much value to the car. Consider dropping comprehensive or collision insurance. Be sure to review and meet your state’s requirements for coverage.
3. Minimize your mileage by using mass transit options or carpooling
The less you drive, the less you’ll likely pay for monthly auto insurance premiums. Due to high gas prices, many people are looking for alternative forms of transportation, such as public transportation. You can get good exercise by walking or riding a bicycle. Some people are investing in electric bikes to avoid high gas prices and high insurance costs. Carpooling is another way to save money on fuel and insurance for a group of people who live in the same vicinity.
4. Bundle your insurance
Some insurance companies offer a variety of insurance plans that allow customers to bundle different types of coverage under one plan. You can pay less overall premiums for bundled insurance than if you buy each plan separately. So if you need a home, life, auto, and health insurance, consider a company that bundles these plans together.
5. Safe travel discounts
A good driving record indicates that you’re a safe driver, which can lower your monthly premiums, especially if you rarely drive. Ask your insurer about discounts and programs for safe drivers. Some insurers lower rates when you can provide proof that you’ve taken an accredited defensive driving course. Another option is to install a telematics device on your vehicle that tracks your driving behavior and miles. The insurer will have direct access to the data to evaluate your driver safety status.
6. Buy a cheaper car
Another option to lower your car insurance bills is to buy a cheaper car that’s good enough for transportation but not flashy enough to be worth stealing by car thieves. Your choice of car will affect your insurance rates based on the model’s price, repair costs, and safety record. Buying an affordable used car can cut insurance rates in half in some cases compared with buying a new vehicle.
To some degree, auto insurance costs are under your control, based on your driving record, choice of vehicle, and other factors. Contact our experts at Remland Insurance Services, Inc. for more information on how to get the best auto insurance rates.