Cost Of Car Insurance Cramming Up. How To Lower That Your Rate


If you live in Arizona, you are probably paying a very expensive car insurance rate. It is being ranked as the 14th highest in the nation today. However, there are little things you can do which will effectively lower down your current costs.

Cost Of Car Insurance Cramming Up. How To Lower That Your RateOne producer from ABC15 was notified that her insurance premium will be subjected to an increase of about $100, from $140 to $240 monthly, which is equivalent to 70 percent. The insurance company told her that the increase is necessary because of the minor accident she had in her driving record.

After running a quick online check from different insurance companies, she was able to lower down her monthly, payment for exactly the same coverage, to $113.

Erin Klug from Arizona Department of Insurance said that their agency is receiving reports that people are experiencing climbing auto insurance rates each month and what they can do about it. Auto insurance has been the number one type of insurance with the highest reported incidents of complaints.  Klug added that there are in fact many ways to save few hundred dollars on car insurance premiums.

One thing she mentioned was to use comparison shopping for auto insurance which will definitely save lots of money. However, there may be a need to change for the current insurance company. She also added that the need to raise the deductibles, changing the coverage policy plan and lowering the property damage specifically for older cars will surely help.

There are insurance companies that will reduce the premium if you can reduce the mileage or perhaps add additional vehicles to your policy. Klug suggests that you talk to your insurance agent if they offer longevity discount. “It’s always worth it to call”, she further added.

While some people find it difficult to accomplish she added that you can asking for accident forgiveness. The first accident usually does not merit a raise in your rates. She said that insurance companies will gladly include the accident forgiveness in their policies while others will let you pay additionally.

Klug said that it is advisable that each year you take time to look into your insurance policy to see if there is a need for a modification. If you found another company that offer better rates, she said that you need to make sure that those are permanent.