No matter what coverage options you select, there are ways you can lower your insurance rates. Spend a little time doing your homework – this is an important purchase and can have huge access to care and financial impacts on your family if you are injured or cause a crash. Be truthful when providing information for your insurance quote – you can be denied coverage for misrepresenting information.

TIPS FOR SAVING MONEY

Shop around: Most people can find a better rate within one hour of checking prices online or calling insurance agencies directly.

Obtain quotes for every PIP level option: Do not just ask for the cheapest insurance coverage! Not having adequate coverage in an accident can leave you and your loved ones without access to needed care. With all of the options and possible risks under the new law, it is very important to seek the counsel of a professional licensed insurance agent. Ask for quotes for every eligible level. You may be surprised that for a few dollars more you can purchase lifetime/unlimited coverage.

Bundle your policies: Insurance companies will generally give you discounts in the range of 5%-15% if you have more than one policy, such as an auto and a homeowners or renters policy.

Drive safely: You know this already, but it is always good to be reminded that your driving record is factored into your premium.

Reduce coverage or increase deductibles (but be careful): Your insurance company will lower your premium if you get rid of certain coverages, such as comprehensive and collision (though you may be required to carry these coverages if you have a car loan or a lease). Be careful before deciding to reduce coverage, because you may need the coverages or not want to pay so much out of pocket in the event of a loss.

Increase deductibles (but be careful): Increase the deductible (the amount of money you’d have to pay out of pocket following an accident). Consumer Reports advises that if your premium for comprehensive and collision coverage equals or exceeds 10% of your car’s value, you should talk to your agent about dropping coverage. Increasing your deductibles can save hundreds of dollars per year.

Address credit report errors: Under the new law, insurance companies still use your history when pricing your policy. Make sure your credit score does not have errors as credit history can have a significant impact in auto insurance pricing. If your credit improves, call your agent and ask for a new quote.

Correct your mileage: Make sure the insurance company has your correct annual mileage. Many companies factor how much you drive into the price you pay, but they sometimes use a default mileage that is higher than what most people drive. People who have retired, changed jobs, work from home, or lost a job often drive less than what the insurance company has on file. Call your insurer and make sure your premium accurately reflects how many miles you drive each year.

Check the fees: Some insurance companies charge large fees on top of the premium if you pay monthly or on an installment plan. This could make a policy that seems low in price more expensive than others without steep fees. When you shop around, be sure to ask about and include the fees when you compare.