Shop around: There can be huge differences among insurance companies for the same basic policy. Get rate quotes from at least three providers every time you’re up for renewal to ensure you’re getting the best deal.
Pay your whole premium upfront: Most companies charge a fee for dividing your premium into monthly payments. You can often receive a discount for setting up autopay, as well.
Bundle home and auto insurance: Getting multiple lines of insurance from the same carrier doesn’t just simplify your life, it can result in discounts of up to 25%.
Take advantage of other discounts: Rate reductions are often available to safe drivers, good students, homeowners, members of the military and others. The nation’s largest car insurance company, State Farm has a discount of up to 30% if you use its Drive Safe & Save mobile app to track your driving.
Consider pay-per-mile insurance: If you don’t drive often, a pay-per-mile policy can save you more than 40% over traditional insurance. You’re charged a daily flat rate plus a few cents per mile.
Improve your credit score: In most states, insurance companies can use your credit history when calculating your rates. Paying off debts, lowering your credit utilization ratio and reporting errors or fraud are all ways to boost your FICO score.
Select a higher deductible: Raising your deductible from $200 to $500 can reduce the cost of collision and comprehensive coverage by as much as 30%, according to the Insurance Information Institute, while upping it to $1,000 can save you 40% or more. Just make sure you have adequate savings to cover the difference.