3 Long-Term Strategies For Cheaper Car Insurance

Owning a car might be a necessary part of American life, but it's certainly not cheap. Even if you own your vehicle outright, gas, insurance, and maintenance can become a significant part of your monthly budget. Obtaining more affordable car insurance can bring down your costs, but how can you help to ensure that your insurance costs come down over time?

While you can adjust your coverage levels and deductibles to reduce your car insurance right now, there are also long-term strategies that can greatly impact your monthly premiums. Following these three tips will allow you to enjoy reduced premiums now and in the future.

1. Keep Your Driving Record Clean

Accidents and moving violations can have a significant impact on your premiums. In most cases, you need to be at fault for the incident to impact your insurance. In other words, you shouldn't worry about comprehensive claims or accidents caused by another driver. Instead, focus on driving safely and within legal limits, and you can keep your insurance premiums from ballooning over time.

You can also gain safe driving discounts in some states by taking defensive driver courses, even if you've had your license for many years. The best way to determine if this is an option for you is by calling your insurer and asking about discounts. You'll usually need to select a state-approved course to receive your discount.

2. Improve Your Credit Score

Insurance companies use actuarial tables to determine your rates, and these tables typically take into accounts factors such as credit scores. Although it might seem unfair, insurers typically group drivers with higher credit scores into lower-risk groups. On the bright side, this means that improving your credit score can also reduce your premiums over time.

However, you might not automatically receive a discount just because your credit score went up. To ensure you're getting the best rates possible, it's a good idea to shop around for new quotes every few years. If you find a cheaper quote from another company, you can sometimes negotiate with your current insurer to match their price.

3. Factor Insurance Into Your Car Purchasing Decision

Along with your driving record, the car you drive can be one of the most significant factors in your premiums. Although selling your vehicle to get cheaper rates might not make much sense, it's worth keeping this in mind next time you're in the market. Buying a car with low average premiums can potentially save you thousands of dollars over the life of the vehicle.

You can always reduce your premiums by shopping around or altering your coverage, but the best way to keep your car insurance cheap is by taking a long-term approach. Following these strategies will allow you to minimize your monthly costs so you can spend more time enjoying your car and less time worrying about the cost to insure it. Use these tips to look for cheap car insurance.