Just because you have to have car insurance to drive on the streets of Minnesota doesn’t mean you have to pay top dollar for it. There are several tips that can help you save money on your auto coverage. Some you may already be aware of but some are very simple and are easily overlooked.
The first thing to do is find out what the required liability insurance coverage is for Minnesota. After you know what you must have you can start adding in coverage that you want to include. Knowing exactly what each coverage pays for is the key to building a plan that works best for you at the best rate. Having coverage that you don’t need is a waste of your hard earned money. Having more insurance isn’t always the best case scenario. Having the best coverage for your money is.
Many people don’t utilize this tip enough – shop around. It may seem easier to stay with the same agent but you will be surprised at how the rates may fluctuate for the same amount of coverage. You should talk with your friends and family members to see which companies they use and get their feedback on how the insurers they use process claims and how often they raise rates, etc.
Save some time and hopefully some money by using the speed and vast information available on the internet. It will give you the most feedback in the shortest amount of time. Just input your information on the site of one of the companies who obtain your insurance criteria and then match it up with a number of different companies. They will either provide you with local contact information or provide you directly with rate comparisons.
One simple tip where you can save some money right away without even affecting your coverage is to raise your deductibles. Simply by increasing your out of pocket expenses from $250 to $500 on just one deductible will save you up to 10 percent a year. So if your annual car insurance premium runs around $1,200 you could save about $120 without changing your coverage.
Eliminating your collision coverage could also save you from spending unnecessary money. You may be wasting your time if you are carrying collision coverage on an older vehicle that is not worth it. It may cost close to what you are paying for a deductible to repair your vehicle if it is damaged in an accident.
Insurance companies are eager to get your business so check with your agent or carrier to see if they offer any discounts for keeping your mileage down each year, having a safer car, keeping your driving record clean and even for keeping your grades up and being a good student.
And here is another often overlooked tip: check over your policy for errors when you first get it. Then make sure that you update your information upon renewal. Things change from year to year –and sometimes sooner than that – so let your insurance agent know so your premiums will reflect these changes.