If you must cut back on auto insurance due to a tight budget, look for ways that won’t compromise your coverage. The following tips from Access Insurance Services in San Antonio, TX, can help you reduce auto insurance costs and still retain adequate coverage.
Raise Your Deductible
The deductible is the amount of money you pay when filing a claim before your insurance steps in. The higher your deductible, the lower your insurance costs. If you have financial reserves that could be earmarked for auto repair if necessary, you could increase your deductible to save money on your premium.
Bundle Your Home and Auto Insurance
Purchasing your home and auto insurance or insurance for multiple vehicles from the same company could qualify you for a discount on your premiums. Your Access Insurance Services agent in San Antonio, TX, can give you greater insight into saving money by bundling your insurance.
Comparison Shop for Lower Prices
Car insurance prices vary from company to company. By shopping around, you may find the coverage you desire at a lower price. Be leery, however, of compromising quality service for cheap insurance prices as what you save in coverage could backfire on you when you file a claim.
Reduce Coverage for Older Vehicles
If you drive an older vehicle, consider dropping comprehensive and collision coverage to reduce your insurance costs. Neither of these are cost effective for older vehicles due to value depreciation. You can still retain liability coverage to cover third party injuries and property damage as well as personal injury protection, if you desire, to cover your own injuries in the event of an accident that you cause.
Raise Your Credit Score
Insurers often use your credit score to determine the cost of your auto insurance. A good credit score could result in your paying a lower premium. If your credit score is low, look for ways to raise it before renewing your auto insurance.