One of the fastest ways to save money without changing your lifestyle is to quote your auto insurance every couple of years.
This Auto Insurance Money Saving Tips Page contains several tips to help you save on Insuring and Driving your Car!
TABLE OF CONTENTS
Auto Insurance Discounts
Car Insurance Discounts are not only given to good drivers but people who are social. Some insurance companies give discounts if you are a member of a certain organization, social club or have a certain credit card. Don’t be afraid to ask, if they don’t ask you. It could just save you a bunch of money. Alana Smith – Bellvue, WA
Fast & Easy Way to Quote Insurance
Editors’ Note: It’s always a good idea to quote your auto insurance every couple of years. We love to use Gabi’s auto insurance quoting service.
It’s easy to submit (you just upload your policy information). It’s free and you get no spam. What you do get are multiple insurance quotes with very few hassles.
Try it for yourself! From the quotes they provided we saved $180 every six months.
Cheaper Car Insurance By City Zip Codes
I live in Glendale, Arizona— where the Super Bowl was played — but have a Peoria zip code. This has always seemed a little strange to me. A while back our neighborhood received a notice from the city that we would be allowed to vote on a proposal to change our zip code to a Glendale address.
Initially, I thought it was a good idea, but after talking to one of my neighbors I changed my mind. She told me that she had researched it and said that it would raise her six-month auto insurance premium $100 to $200 per year. An increase in insurance premiums had never occurred to me so I called my insurance agent. He confirmed that my premiums would increase with a Glendale zip code.
Thankfully the change did not go through. So if you’re looking for property to buy or rent, and you’re torn between two homes in different zip codes, be sure to compare your auto and homeowners insurance costs. L. Jewel Smith – Peoria, AZ
Auto Insurance Tips from a Former Agent
I am a Former auto insurance agent. Insurance companies can not legally offer ” discounts” to get your business. #1 thing if you have a clean driving record. Look for top-tier insurance companies, AAA, Allstate, Farmers, State Farm. If you have a military connection USAA has one of the lowest premiums.
My kids are part of USAA because of their parents. Also make sure you are being rated properly, a single male under the age of 25 is more expensive than a married male of the same age. Errors can be made by a couple of transposed numbers.
Deductibles
If you have a car with a lien or a lease find out what maximum allowable deductible you are allowed for comprehensive and collision. Sometimes these numbers are different. Such at $250 for collision and $500 for comprehensive. Get the highest you can afford and set that money aside for just in case. The same is true if you have a paid for a vehicle that is worth something and it would financially hurt you if the car is totaled and you could not afford to replace it.
Combined Single Limit Liability
Another type of policy you can get is what is called a CSL combined single limit for liability. I believe the minimum coverage is $15,000 per person up to 30,000 per accident. $10,000 per vehicle. If you own any property that will not cover you for the average car/medical coverage. They can sue you for your property. A $500,000 CSL can cover cars and people.
Ask for Discounts
Ask for industry discounts. Especially if you have a couple of tickets. Multiple cars, Homeowners, Anti-theft devices, Specialty breaks, wheel locks etc, membership discount like AAA, military, subsidized insurance through your work. Ask and ask some more. Up for renewal ask if there are any new discounts available and what you need to qualify for them.
Get Re-Rated after Tickets
If your rate is a little higher because of tickets, ask the agent when they should drop off. Generally, they come off 3 years from the date the ticket was paid not when it occurred. More serious tickets can take 4-7 years to come off. Ask the agent to re-rate you after the tickets have come off. Do not cancel your policy for a new policy until you are 100% sure the tickets have come off. Go to the Motor Vehicle Department and get a copy of your driving record. It cost you a few dollars but could be worth 100’s. If you get a ticket and you fight it or choose to admit guilt and can possibly go to traffic school do it. In Arizona, you can go once every two years.
Quote Before You Buy
If you are planning a new/new to you car purchase, call your insurance agent and get a quote before you buy. A standard SUV versus a 4WD. The 4WD will be more costly to insure. Half-Ton versus a 1.5 or 2 Ton Truck of the same make will have very different rates as will king-cab versus regular cab. Lorraine Perkins – Mesa, AZ
Choosing USAA for Auto Insurance
USAA is one of the cheapest but it is also one of the best. If you have the option USAA is by far the best choice even if the premium is not the lowest as if there is an issue it will more than make up for it. Patrick Baldwin – Phoenix, AZ
Speaking of the military in terms of discounts that is what USAA insurance is all about. They give insurance breaks to anyone who is a family member of a veteran which includes a lot of people. They also do quick claims and give one a great discount at the end of the year for not having an accident. I really don’t think there is cheaper insurance around if you are a family member of someone who has been in the military. That person doesn’t need to be alive either.
Alicia Renkema – Scottsdale, AZ
We have USAA and no one can ever beat their prices. I do know that the more things we insure through USAA the lower the prices go…because of the discounts for covering multiple things.
Venita Ballard – Phoenix, AZ
If either of you has a background in the military, USAA cannot be beaten on service or price for auto and home insurance as well as banking. Melanie Young – Raleigh, NC
Auto Insurance Random Tips
We’ve received auto insurance discounts for professional credentials – engineer, midwife/health worker, higher education instructor.
We’ve used low-mileage insurance before too and it saves a LOT of money. They ask for odometer readings every few months though to make sure you’re not gaming the system.
Tim Economides – Sebago, ME
If you drive less than 250 miles a week then your price goes down. Also if you ask to put a clause that nobody under the age of 25 can or will be driving your vehicle, the price goes down a lot. This is for full coverage. Bill Meola – Surprise, AZ
Just posted yesterday on the question of whether you should let your insurance company attach a device to track your driving behavior in exchange for MAYBE as much as a 30% discount. Big Brother loves to watch you… Victoria Hay
No never let them track it is a slippery slope. Patrick Baldwin – Phoenix, AZ
Learn Insurance Company Reliability
Whenever we requote any insurance policy, we always check out the performance of each insurance company we research. To do this we visit the Arizona Department of Insurance website and read their data.
ICAN.com (Insurance Consumer Advocate Network, LLC) website is a great resource.
Not only do they have loads of great information on how to purchase insurance and get the services you’ve paid for they also provide links to the oversight agency for insurance in all of the 50 U.S. states.
Start Saving on Car Insurance Now!
We regularly encourage quoting your Auto and Home Owners insurance as a great way to save money without changing your lifestyle.
It is the easiest and quickest way to save hundreds, if not thousands of dollars each year.
We discovered Gabi after reading a Consumer Reports article about Auto Insurance quotes.
We were hesitant at first to submit personal data through this website, but our experience has proved to us that it is very secure and we have received no spam. Our information was submitted to numerous companies (more than 28 are listed on the website) and we started receiving quotes within 24 hours.
We spent about 15 minutes punching in our information and ended up saving $400 every six months on our auto insurance.
That’s $800 each year for about 2 hours worth of research. Hmmm, $400 per hour, not a bad hourly wage! Steve & Annette – Scottsdale, AZ
Kids and Cars
Kids Can Pay: If your teens drive, have them help with the expenses – gas, insurance, and car payments. All of these expenses are part of the reality of car ownership. We’re raising future adults, and teens are on the cusp of adulthood, let’s gently and lovingly allow them to start managing adult responsibilities before they head off to college or move out for a new career.
Summer Work: When your teens look for a job – find one close to home.
Steve & Annette – Scottsdale, AZ
Auto Insurance College Degree Discounts
I was reading the tips on your website and saw the one about car insurance and social clubs.
When we switched to Mercury Insurance we discovered that if you hold a degree in any science or engineering, you received a special discount. I have heard about discounts for teachers or rotary club, etc., but not based on a certain college degree. Had I not been bored and read every single page that came with our welcome packet, I would never have known to ask for that discount. Who knew my husband’s Chemistry degree would save us an additional $500 a year! Rachel L. Courter – Orange, CA
For more info/tips for saving money on cars, consider our first book, America’s Cheapest Family Gets You Right on the Money.
For more ideas to save money with your car, check out our money saving tips page for auto maintenance suggestions.
Also, check out our car buying page.
If you know of other ways to save money on car insurance, please leave your tip below as a comment and we’ll review your comment and post the best ones here.
We recently saved 2100.00/ year for changing our car insurance to Esurance! That was a big difference!
Esurance is the online arm of Allstate. Essentially stripped-down services, and a better price. Saving $2100 per year is a huge amount. Way to go!!!
My brother is planning to buy a car and my mom reminded him to also purchase an auto insurance. It was explained here some car insurance is cheaper by the zip codes. Moreover, it’s recommended to consult insurance experts when dealing with an auto insurance policy.
Sariah – Great info. It’s always smart to get quotes on auto insurance for any of the cars that you are thinking about buying BEFORE you buy the car.
I like how you suggested asking for industry discounts. I am looking for a new car insurance plan. Thank you for the tips on getting car insurance discounts.
Sutton – Let us know how much you save. Quoting your auto insurance is always a good thing.
We save up and pay in cash. This avoids loan interest and allows for negotiation. We’ve almost always purchased lower mileage used cars from dealers we have a relationship with and trust. Our current dealer also does repairs and charges a very reasonable hourly rate. Using a credit card costs the dealership money, checks are much more appreciated. They are considerate towards us, we try to be towards them as well. Being in a small town has advantages. Word of mouth reputation means quite a bit.
Paying cash for cars is the best way to save money and to negotiate the best price. It’s awesome that you’ve built a relationship with the used car dealer. Because you’re a repeat customer, they probably cut you an even better deal – they’ know if they treat you right, you’ll be back . . . and tell your friends about them. Do you want to give them a plug? Mention their name and the city – they sound like awesome people!