Saving Money on Insurance Need You - Auto Insurance Quotes, Comparisons and Your Budget

Budgeting and saving money involves matching your expected income with anticipated expenses. Usually, budgeting involves compromises and sacrifices to make the monetary pieces of the puzzle fit together. Budgeting also involves reasoning, logic, and knowledge so that your decisions about where to cut make the most sense. Being able to make auto insurance quote comparisons fit your budget will help you create a financial picture that makes good dollars and sense.

There are ways to to cut your insurance premiums so that you may not have to cut other items in your budget. Auto insurance quote comparisons can vary widely and analyzing what you are getting for your money, may help you make important financial decisions.

• Auto Insurance Collision ~ Collision insurance for damage to your car and comprehensive insurance for theft should be re-evaluated every year. As your car gets older, it may not be cost effective to keep collision insurance on your car. The insurance company will not reimburse you for damages to your vehicle that are greater than the value of your car. Each year your car depreciates and loses more of its value, yet your insurance costs rise annually. Look at your auto insurance quote comparison with collision and comprehensive costs. Find out what your car is worth by going to kbb.com (Kelley Blue Book. If this cost is more expensive than what you would get in compensation for replacing or repairing your car, cancel this part of your coverage.
• Increase your deductible ~ Deductible is the amount you pay out of pocket to cover damage to your car. Do an auto insurance quote comparison to see how much less your insurance premiums cost you at different deductibles. For example, if you have a $500 deductible now, but raise it to $1,0000 you might save 25% per year. If you raise your deductible to $2,500, your might save 40% on your insurance. That this is well an good, but you also need to take into account the “what if factor”. What if you get into an accident. What if you can’t lay out the $2,500? How will you get your car fixed? Saving money and having it cost you in the long run is not necessarily saving you money. So be practical and realistic about how high your deductible should be in comparison to how much money you have on hand in a case like this.
• Another way to save money and help you stay within a budget, is to get a couple of quotes from other insurance companies. Do auto insurance quote comparisons between different insurers. You can do some auto insurance quote comparisons using online insurance companies. After you have done some research, you can call an independent insurance agent who deals with many companies, and ask them to beat the lowest price.
• Apply discounts whenever you can. Insurance companies offer lower rates for people with annual low driving mileage. They offer people 55 years and older a discount, discounts for defensive driving courses, teenagers who have good grades in school, people who have been or are in the military, and people who have cars with antilock brakes, alarms, and other safety features. Evaluate your auto insurance quote comparison to see if you can get as many of these discounts as possible. It never hurts to ask.
• Multi car discounts and discounts for people who have their homeowners, umbrella policies and other insurance with the same company
• People who have a safe driving record and a good credit rating can get lower rates. People who have moving violations, tickets for speeding, prior accident records, and failing to pay credit card bills pay higher insurance rates
• If your young driver went away to college or is not driving your car, you can get an insurance reduction.
• Car safety record ~ the car you buy affects how much you pay for insurance. Those cars that have better crash safety records are given lower prices for insurance because they have less damage in accidents. You can go to iihs.org and safercar.gov to learn about crash safety records for your car. It is always a good idea to buy the safest car you can afford anyone.
• Liability coverages ~ covers injuries in a car accident. Each state usually has minimum requirements for such coverage, but it is usually insufficient to cover what can happen to people. If your insurance coverage is not enough, you may be putting your other assets, like your house, or your investments at risk, should more be needed to compensate someone who was injured. While you might save some money on your policy, you want to make sure your investments are protected adequately.
• Pay your insurance yearly, or semi annually, otherwise you may pay extra fees that the insurance company tacks on for billing you quarterly or monthly. Sometimes it costs less to pay your bills electronically, so inquire about this option also.

If you are covering teenagers with your auto insurance, your rates are probably very high. Teenage drivers between teh ages of 16 years old to 19 years old are 4 times as likely to have an auto accident than any other age group. This statistic compiled by the Insurance Institute for Highway Safety, is why premiums for young drivers are so high.  if you have a teenage driver on your policy here are some tips to lower your premium costs

• do auto insurance quote comparisons between several companies.
• follow the same tips above, such as raising deductibles and reducing collision
• be choosy about the car your teen is driving, some models are charged higher rates
• The older your child gets, their rates will go down.

Basically as you do some auto insurance quote comparisons, you want to buy the right amount of coverage for your needs, without spending more than you have to.  As you get other prices from several insurance companies, you want the auto insurance quote comparisons to be as identical as possible.  That way you are getting an actual savings comparison. Insurance is an expense, and cutting this expense is a good way to save money. But you need to be mindful about the things you are cutting out. You don’t want to save a couple of dollars, only to have created a greater financial burden if only you had the insurance. Cut your cost wisely, not totally.

With some of this knowledge, you can start to look to save your budget and save on insurance costs.  It begins with looking at your auto insurance quote comparison and  talking to your agent to see their recommendations. Go through your insurance policy line by line and try to reduce or eliminate coverage you don’t really need, and to inquire what other discounts you may be eligible for.  Make your policy efficient for your budget.  Doing  auto insurance quote comparisons is a matter of asking the right questions and spending a little time investigating ways you can save money.  Your effort will be worth your while, for the money you saved will surely have another place to go in your budget.