Purchasing adequate auto insurance to cover potential losses is essential for your financial well-being. However, there’s no reason to pay more than necessary for your policy. Premiums are calculated using a wide range of factors unique to each driver. As such, there are different steps you can take to help cut coverage costs without sacrificing the quality of your protection. Here are a few ways to reduce rates.

How to Save on Auto Insurance

1. Increase Your Deductible 

When you buy an auto insurance policy, you must decide on a deductible amount. This is how much you’ll pay out of pocket for a claim before your insurer takes care of the rest. A higher deductible typically results in a lower premium since you’re sharing more financial responsibility. Thus, increasing your deductible can be a good strategy for decreasing your monthly bill. Just make sure you’re able to afford the upfront cost should the need arise. 

2. Bundle Policies 

Many insurance companies will offer a reduced rate if you get more than one type of coverage from them. This is referred to as bundling. If you need home or renter’s insurance along with your auto policy, you may want to consider using the same provider for both. This can save you money, and it’s more convenient to deal with one carrier for billing and claims. 

3. Improve Your Credit Score

It’s become increasingly common for insurance companies to take drivers’ credit scores into account when determining policy premiums. Some providers believe those with a higher rating are less likely to file a claim. In turn, they’re rewarded with a discounted premium. To improve your score, pay all your bills on time, keep credit card balances low, and regularly monitor your credit report for errors that need to be fixed.

4. Ask About Discounts

Drivers often miss the opportunity to save money because they’re unaware of all the available discounts. Although it varies from one insurer to the next, you may be eligible for a rate decrease if you take a defensive driving course, drive a low number of miles, install an anti-theft device, or work in a certain profession. Ask your agent what you qualify for.

If you’re looking to secure a better rate on your auto insurance, turn to Barnes & Howell Insurance in Gainesville, GA. As an independent agency, they can help you compare policies with multiple providers and find the best deal tailored to your specific needs. For nearly 30 years, these professionals have been a trusted source for high-quality coverage solutions that offer maximum protection. Call (770) 718-0202 to request a quote, or visit them online to view their product offerings.