Next, get multiple policies through the same insurance company, which often leads to a multi-policy discount. This includes coverage for more than one car as well as other kinds of insurance, such as homeowner, renters, boat, etc. You also want to look at the kind of car (or cars) you have. If your vehicle is older — roughly 10 years old or so — you may be able to skip the collision and comprehensive coverage depending on your state’s insurance laws. And if you’re in the market for a new car, whether it’s brand new or used but new-to-you, keep in mind that the type of car will have an effect on your insurance, too. For example, sports cars cost more to insure than SUVs and cars with more safety features are cheaper to insure. I also suggest doing a little research into the most commonly stolen cars, as those also require more to insure. As I’ve said, one factor that can cause your premiums to go up is getting tickets. Many companies will lower your premiums if you take a Driver’s Education course after getting a ticket. If you don’t drive a lot, one possible option is getting pay-per- mile or usage insurance. However, this is only available in a handful of states. With this type of coverage, you pay a flat rate per month plus a per-mile rate. So, for example, your monthly payment may be $35, and your per-mile rate may be $3.50 per mile. As with all other insurance, your base rate is determined by a variety of factors similar to traditional insurance. Another aspect to consider is your financial health. If you have a low income, your state may offer a low-cost insurance plan. Also, your credit score is always a factor when it comes to premium costs, so to lower your payments, do your best to keep that score as high as you can!
Pro Tip: Credit Score Scrutiny
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