You just bought a new car and cannot wait to get on the road. What is the first thing you need? No, not some great road music playing on the radio, you need insurance. You are required by law to have auto insurance on your vehicle. Just because insurance coverage is mandatory does not mean that there are not ways in which to save money. Here are eight easy ways in which to cut costs on your auto insurance.
1. Call around. That's right get out the Yellow Pages and look up Automobile Insurance. Find the name of some insurance companies you are familiar with, such as CarInsurance.com which is not just online, and give them a call. Keep a list of the company and the price quoted as well as the specifics of what is included in that coverage.
2. Go Online. After calling around you can now kick back, relax and surf the net. There are many sites, such as CarInsurance.com, which make it easy because you can quickly see multiple companies and their rates for your particular situation.
3. Get Quotes for different types of insurance with each company you contact. Full coverage at one company may not be the same as it is for another. Maybe you only need liability. Is the new sports car only used on the weekends? If so than you may get a different type of insurance or discount for that.
4. Look at different limits that are available for the insurance coverage you want. Know what limits each quote is giving you. You would not be comparing apples to apples if one company quotes 10,000/20,000 while the next one quotes you 100,000/300,000.
5. Do not be afraid to adjust your coverage to meet your needs. To cut costs when you first get your auto insurance you can start with lower coverage and change it to include more coverage if you have the financial means at a later date. You can also change your coverage by lowering it to save money if you determine your car does not need full coverage anymore and you can now get by with just liability.
6. Buying a policy with higher deductibles will save you money. Before moving your deductible from $250 up to $500 or $1000 make sure this savings will not hurt you in the long run. Make sure you would be able to pay the higher deductible if you need to make a claim.
7. Have a good driving record. If you are a safe, defense driver it will save you. Just think about that next time you feel the need to speed or want to cut some off in an act of road rage. A clean driving record will keep your car insurance rates down.
8. Ask for a discount. See if the insurance agent will be able to cut your costs if you purchase either your homeowners or renters insurance along with automobile insurance at his or her agency. This is called a multi-policy discount. Having all of your insurance going through one insurance company and agent will be easier for you as well.
The law says you need to have insurance on your vehicle no matter if it is a 10 year old clunker or a brand spanking new sports car. Different states have different minimum coverage requirements. Before looking for insurance it would be worthwhile to research what insurance you believe you want to have on your automobile. Once you know what type of insurance you want and need follow the above tips and go save yourself some money.