Auto insurance rates vary widely from state to state. Ohio for instance offers the lowest monthly average at $77, whereas Michigan has the highest at a gasp-inducing $213 a month. You would think in the state where they MAKE cars, the insurance on them wouldn't be so high! But, regardless of the state where a vehicle is garaged, there are some sensible tips that you can follow to get the best rate.
Auto Insurance Savings Tips
1) Do the due diligence. No one buys the first home he or she looks at. Similarly, no one should buy Auto insurance based on one quote. Look at comparison web sites and consult independent brokers. Be sure the quotes offer the same types of coverage.
2) Look at other insurance packages e.g. on the family home. Many insurers offer package deals if they get all of one's business: home, auto, umbrella liability.
3) Is there a car alarm or other theft-prevention equipment installed in the car? Many insurers will offer discounts.
4) Location does come into play and not just state by state. Rates can literally be different depending what side of the street one lives on. Ask the broker about where the dividing line is. If that happens to be one's situation, argue. Is there anything to lose?
5) How much does one actually need to drive? It makes sense that the more the car is in operation, the more likely it is to be involved in an accident. Theoretically, one might be ahead saving $30-40 a month by setting a lower annual limit and renting a car for the family vacation.
6) How much deductible is needed? The higher the deductible, the lower the monthly rate.
7) Take a defensive driving course. Anything that makes one a better driver lowers the chances for an accident, which in turn will lower the monthly Auto insurance rates.
8) If buying a new car, look at the auto insurance rates before buying that flashy sports car. The more expensive the car, particularly vintage vehicles, the more expensive the parts.
9) Be sure to inquire with each company what discounts are offered.
Saving on an insurance premiums requires time and analysis, but when that extra cash is realized in one's savings, it's all worth the effort!