insurance

Tips for finding cheap auto insurance

Cheap auto insurance isn't a myth. But getting cheap auto insurance often means doing a little extra work to take advantage of savings that aren't always advertised. Here's what you need to know to find the best deal on auto insurance.

Shop savvy

If you want to slash your insurance costs, there are two things you can do right off the bat.

First, it pays to understand exactly how much coverage you need. The question to ask is how much you'll pay for coverage in these three categories: bodily injury liability for a single person, bodily injury liability for all injured parties and property damage liability.

Second, must shop around. When it comes to getting the best deal on your auto insurance, the prize often goes to those who are willing to compare auto insurance quotes. You can use online calculators to streamline your search as well as reach out to local agents for a quote.

Cut costs

There are lots of ways to save on auto insurance, but while a lot of people look for deals, one guaranteed method is to cut costs. One idea is to raise your deductible, but the downside is that you'll pay more out of pocket after an accident. Another tactic is to reduce your coverage. You don't want to go below your state's minimum guidelines, but if you're looking to save, you need to ask if you're overvaluing your assets and the coverage you need. Finally, you may want to drop some coverage altogether. It may not add up to much, but you may not need coverage that provides rental car and towing coverage.

Look for discounts

For a lot of people, the key to cheap auto insurance is to maximize discounts. Insurers have been known to offer discounts based on the type of work you do, your driving record and whether you're married. Insurers also offer discounts for those who pay their yearly premium in full, and there's usually a discount for insuring more than one vehicle on the same policy.

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