Jack up your deductibles4 of 7The deductible, that portion you pay out of pocket before your car insurance kicks in, may be costing you more than it should if you haven't adjusted it upward to reflect the declining value of your car and your financial ability to shoulder more of the repair cost.The Insurance Information Institute estimates that raising your deductible from $200 to $500 could reduce your collision and comprehensive premiums by 15 percent to 30 percent. Take it up to $1,000 and you could save 40 percent or more."Every dollar you give an insurance company, you get back about 60 cents," says Hunter. "Even for new cars, raising your deductible is a good thing to look at. It has become a hidden money maker for insurance companies." Related Articles:Find auto insurance dealsABCs of auto insuranceOlder driver discountsNeed new car insurance?Related Links:Auto insuranceCut car insurance ratesHow to save on auto insuranceTeen driver discounts advertisement
The deductible, that portion you pay out of pocket before your car insurance kicks in, may be costing you more than it should if you haven't adjusted it upward to reflect the declining value of your car and your financial ability to shoulder more of the repair cost.
The Insurance Information Institute estimates that raising your deductible from $200 to $500 could reduce your collision and comprehensive premiums by 15 percent to 30 percent. Take it up to $1,000 and you could save 40 percent or more.
"Every dollar you give an insurance company, you get back about 60 cents," says Hunter. "Even for new cars, raising your deductible is a good thing to look at. It has become a hidden money maker for insurance companies."
Bankrate wants to hear from you and encourages thoughtful and constructive comments. We ask that you stay focused on the story topic, respect other people's opinions, and avoid profanity, offensive statements, illegal contents and advertisement posts. Comments are not reviewed before they are posted. Bankrate reserves the right (but is not obligated) to edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.
By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.