From time to time, auto insurance rates will increase. Most often, this happens due to the cost of living rising. However, many people can save money by asking their insurance agent about savings options. If your prices are on the rise, take these steps to ensure you are paying the least amount necessary. Don’t limit your coverage. Instead, apply these savings tips.
#1: Ask Your Agent for a Better Price
One of the best ways to save is with a conversation with your agent. Ask the agent a few key questions:
- Why are your rates going up? This may not be a result of your situation. For example, it may be due to industry-wide rate increases.
- Is there anything the agent recommends to help lower your rate? Ask for any available discounts that may apply to your needs.
- What factors can you control that could be impacting your costs? This may include things like driving violations.
The key is to simply ask your agent for a better price point. This could lower your rate just for asking.
#2: Fix Problems with Your Risks
Being a high-risk driver is never a good thing. It is the single most common reason auto insurance rates increase year-over-year.
A high-risk driver is one that gets moving violations. It could also be a person without a long driving history. Your agent may recommend:
- Taking a defensive driving course to increase your skill level, decreasing your risk.
- Give it time. This is especially true for new or young drivers.
- Avoid moving violations. Points usually drop off your license every year. This could help boost your rates
#3: Consider a Quote from a Competitor
You do not have to remain in an auto insurance policy that is too expensive. Consider requesting a quote from another insurance company. By working with us as an independent agency, you can guarantee you can find the most-affordable policy.
When you do, use that information carefully to make a decision about your coverage.
- Compare other companies based on the features and coverage amounts you have right now.
- Ask for available discounts or a new policyholder discount from that agency.
- Let your current auto insurance company know about the lower rate. They may match it.
Car insurance costs are going to increase every now and then. Being a safe, low-risk driver is the best way to keep those costs as low as possible. Most drivers can find ways to reduce costs simply by talking to their agent.