Determine the Coverage that will Best Protect your Risks Bear in mind that over 50% of the total cost of your car insurance premium is to cover personal liability.
This is personal liability for you and/or your passengers and third parties.
The other 50% is the damage or loss to the vehicle.
Bear in mind though because the liability risk and costs are much higher you should make sure you look carefully at this area.
Source lots of Quotes There are many car insurers competing for business so the more car insurance online quotes you source the cheaper premium you will get.
Ask your relatives, friends and neighbors what they pay for auto insurance.
You may be surprised to find that they are getting insurance much cheaper than you are.
Also, by sourcing car insurance online quotes you can source quotes more quickly than by telephone or in person.
Demand Discounts on the Premium Offered If you don't ask you don't get.
Encourage the insurance company you are obtaining quotes to give discounts.
Look at bundling the insurance and see what sort of premium you will get.
In most cases if you combine your home and car insurance you will be entitled to at least a 10% discount.
Also ask for discounts for car alarms and anti-skid brakes to assist in your car insurance comparison with different vendors.
Look at the Cost Savings of a Higher Deductible If you accept a higher deductible of say $1000 the insurance premium will usually drop markedly.
After all, it's the potential of a $300,000 loss from injuring somebody that is worrying rather than the smaller cost of your $10,000 car.
Bear in mind though, your ability to choose a higher deductible is often limited by the financing company so you should check with them first before you negotiate higher deductibles with your insurer.
Get that car insurance quote BEFORE you sign on the dotted line.
Make sure you get the quote first.
The number of times people have bought the car then organized insurance afterwards to find out the insurance premium was twice as much as they thought it would be.
Cancel your old Policy Promptly This sounds like a basic point but it's surprising how many people forget to do this then end up paying twice for insurance coverage.
By canceling your policy once the new policy comes into effect you will get a refund for the unused premium.
Consider your Payment Options Carefully Most of the time insurance companies will give you the option of paying in monthly instalments with the first installment due when you take out the policy.
This enables the customer to obtain the most affordable car insurance.
If you can afford to pay the full year in advance this is the cheapest option.
If you cannot afford the annual premium choose the best time period that suits your budget.