So why is my car insurance quote so high? How can I make the quote go down? Why is car insurance so expensive?
Here’s Why Your Car Insurance Quote Is So High
Many different things can raise your car insurance rate. Luckily, with a few changes, you can take control of your quote. However, with a few of the strategies I will give you, an affordable car insurance rate will be within your grasp.
What You Can Change To Get A Cheaper Insurance Quote
The biggest tip I can give you if you are looking for insurance today is to get as many quotes as possible. If you only contact one insurance company, they can charge you whatever they want. This is because getting the highest number of quotes empowers you to get the lowest rate. I have found that Root Insurance has been the cheapest quote I have been able to find. However, it never hurts to check companies such as Progressive, Geico, State Farm and Allstate.
But as a word of caution, don’t let an insurance agent shop your rate for you! As tempting as one-stop-shopping is, they have no reason to tell you the truth. After working at an agency that wrote insurance with 12 carriers, I can personally tell you that those agents are designed to write policies that pay their company the most.
As I have personally had to lie to customers saying there wasn’t a better rate for them while staring at a cheaper from another carrier. So if one quote costs $50 more a month but pays the agency even $1 more, they may only tell you about that quote. They aren’t there for you because they are there for the agency.
What Long Term Strategies Will Give Me The Best Rates?
This tips will help you get better insurance quotes in the future. If you are in a rush, just try the above tip first. It will be the most helpful if you don’t have time. These tips are the best practices for car insurance. I will overview how you can improve your credit, driving history and pick the right car for a low insurance rate.
How To Fix My Credit For Car Insurance
The way car insurance carriers measure your credit is different than banks or credit card companies. This is usually good news! FICO scores are often hard to raise quickly which is what banks evaluate. Since car insurance companies just want to make sure you pay your monthly bills, your payment history is their primary concern. So put your phone and utility bills in your name. If the power bill is in your spouse’s name, have them also get a quote. And make sure it matches the address where you will park your car at night. This can make a HUGE difference is what you pay each month. Even with the General, this can raise your insurance quote.
How To Clean Your Driving History
Your driving history can play the biggest variable role in your insurance quote. Since an accident or DUI follows you for five years, there isn’t a whole lot you can do about those. If you have a ticket, including a citation from an accident, do traffic school to get the points off of your license. This will help lower your rate. Otherwise, try to be an additional driver on another person’s policy. If they have a clean driving record, it may be cheaper to be on their plan. However, they may need to be in your household. If this isn’t an option, try my last tip.
Your Insurance Quote Is So High Because Of Your Car
Your insurance quote is so high because your car is worth too much money, The higher the value of your vehicle, the higher your rate will be. Check KBB.com to see the value of your car. As a rule of thumb, an older vehicle or cheaper brand will be cheaper to insure. Actually, some of the cheapest cars to insure are antique cars.
If your car insurance is too high, you may actually try getting a cheap car to drive for a few months. If your driving record isn’t so great, a $500 car may save you $100 or more a month. After just six months, you’ll be ahead. You also may still save money if you put that car first on your policy. Discounts on second vehicles are based on a percentage. Having the junker be the first car may save you money overall.
So you now know why your car insurance quote is so high. Use these tips to get a lower rate. What tip surprised you the most? Have you used any of these strategies before? Comment below to let us know!
Get a quote from Root using this link and you’ll get $50 even if you don’t sign up!
Adam is a license Property and Casualty Insurance Agent for over two years in 25 States. He has worked with 10 different insurances companies. His interests include marketing, insurance, sales, and personal finance.