This is a sponsored blog post, but as always, the opinions expressed below are my own.
If you often find yourself letting out a deep agonizing sigh over the cost of your auto insurance, you’re not alone. Auto insurance can cost a pretty penny and finding an affordable plan isn’t always an easy feat. The cost of auto insurance is dependent on many factors such as a driver’s age, location, and their safe driver report. But as with many things, there’s something else that’s currently affecting auto insurance prices…. and that is inflation. According to a CNN report in early 2023, inflation surged auto insurance prices by a whopping 14% from 2022. This price increase costs the average person roughly $2,014 a year for full coverage. Whether you’re looking for a new plan or wanting to switch companies, here are 4 ways to find affordable auto insurance.
1. Do your research.
When choosing auto insurance some people tend to stick to what they know. While this could turn out in your favor, it could also prevent you from finding something that’s more affordable and better suits your needs. It’s a wise idea to shop around for auto insurance and compare vehicle coverage and prices. There are many websites out there that will help you compare quotes from both local and national companies. So make use of advanced technology and search outside of your comfort zone.
2. Inquire about discounts.
Though auto insurance can be pricey, you can save big by looking into discounts. Most companies offer some sort of discount, the trick is finding which discounts you qualify for. One of the most common discounts are those based on your driver history. State Farm offers a discount of up to 30% for being enrolled in their Drive Safe program. But, if your driving history isn’t squeaky clean and/or monitoring your driving isn’t up your alley, you can also find alumni, military, and member affiliation discounts. If you’re uncertain which discounts may be available and applicable to you, the best thing you can do is talk directly to an insurance agent.
3. Improve your credit score.
It’s no surprise that your credit score impacts many areas of your life, but some may be a little surprised to know that it even influences the type of car insurance quotes you receive. A recently published Forbes study discussed this shocking phenomenon. According to the study, “Having poor credit increases your rates more than if you have a speeding ticket or an accident and possibly more than a DUI, depending on where you live and your company’s rating system.” Though improving your credit isn’t an overnight fix, it’s worth doing for a multitude of reasons including lowering your auto insurance premium.
4. Compare quotes regularly.
While some companies may have a loyalty savings program, other companies may be worth leaving after a few years. Comparing quotes regularly will help you know which companies best suit your current needs and budget.
Finding affordable auto insurance can be stressful, but following these four tips could help make the process less stressful and expensive.