When shopping for car insurance, many factors (age, prior claims, location, etc.) are out of your control. However, being aware of these “tricks of the trade” may help you lower your premium costs.

9 Things That May Lower Your Car Insurance Rate:

  1. Bulk Rates May Be Cheaper That Individual Rates

    Most insurance companies want to develop long-term relationships with their clients. If you have more than one vehicle or individual in need of coverage, they may offer you a discounted, or “bulk,” rate. Some companies also offer additional discounts to customers who have other policies, such as homeowner’s or life insurance, with them as well. If you are interested in insuring multiple drivers under one policy, it’s important to keep in mind that they must live at the same residence AND be related by blood or in a partnership or marriage. Some exceptions apply, but each insurance company operates differently, so it’s important to maintain a relationship with your insurance agent and ask if you qualify for a bulk rate.

  2. Be a Good Student

    A rule of thumb is that adding a teenager to your policy will raise your rates. However, some companies offer discounts to students with good grades. Good Student Car Insurance Discounts usually come with certain requirements (like maintaining a certain GPA), so be sure to discuss eligibility and maintenance requirements with your insurance agent.

  3. Look at Your Deductible

    A deductible is the amount you have to pay before your insurance covers the rest of the cost in the event of an accident, disaster, theft of or damage to your insured items. Deductibles range in size, and most people elect for the cheapest option. However, a lower deductible may mean a higher premium. There is no universal “best” or “cheapest” choice, so it’s important to ask your insurance agent if a higher deductible could result in long-term savings for you.

  4. Take a Defensive Driving Course

    In some cases, insurance companies may provide discounts if you take a defensive driving course. This won’t remove points from your license in the state of Tennessee, but it could save you money in the long run. It’s important to consult your agent before taking the course, as the cost of the course may not balance out evenly with the discount you may receive. Also, ensure you are taking an accredited driving course before enrolling.

  5. Report Reduced Mileage

    Average mileage is a critical factor in calculating premiums and deductibles. If you move somewhere closer to where you work, begin working somewhere closer to where you live, start carpooling, or increase your use of public transit in place of driving your own vehicle, let your agent know.

  6. Install Anti-Theft Devices

    Some companies may offer discounts to drivers who protect their car with an anti-theft device. This safety measure can help prevent extensive damage from happening to your car or help prevent your car from being stolen altogether. Consult your agent to find out if installing an anti-theft device could save you money on your car insurance in addition to protecting your car.

  7. Expensive Cars are Expensive to Insure

    Fast, foreign, new cars are enticing to many people, but insuring an expensive car is expensive. Generally speaking, family-friendly, durable cars cost the least to insure. Sometimes insurance agencies provide discounts for eco-friendly cars as well. It’s a good idea to discuss your insurance options with your agent before purchasing a new car.

  8. High Risk = High Rate

    High-risk drivers pay more for car insurance. If you drive safe, you pay lower rates. The more accidents, violations, or points you have against your license, the higher your car insurance rate can be. It’s important to stay up to date with your driving records and the laws within your state. In Tennessee, points against your license remain on your record for 2 years.

    10 Factors That Can Affect Your Car Insurance Rate

  9. Ask About Other Discounts!

    Different companies offer different discounts for different things. Lifestyle changes, organization memberships, and more may result in various discounts at different places. Many insurance agents stay on the look out for ways to help their clients lower their rates. This is one reason it’s a great idea to develop a long-term relationship with your agent. Additionally, you can and should always ask! They can help find the rates and discounts that work best for you.

To learn more about car insurance in Tennessee or Virginia, or to find the best policy for you, contact McInturff, Milligan & Brooks via the form below or at (423) 639-5171.

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