As a car insurance agent, I encounter one question frequently: “What can I do to lower my rates?” Following are some tips to decrease your monthly insurance bill.
Pay your bills on time — All of them
You can avoid late fees by paying your insurance bills on time. But, did you know that paying the rest of your bills (electric, cable, etc) on time can decrease your insurance premium?
Insurance companies take your credit into account when determining the amount you will pay. According to Experian, paying your bills on time is the best thing that you can do for your credit score. As your credit score rises, it’s a good bet that your insurance premiums will fall.
Ask your agent to rewrite your policy
Periodically, insurance companies implement new rates. You can’t take advantage of new rates if you have an old policy.
Ask your agent if it would be beneficial to rewrite your policy. Emphasize that you would like to maintain your existing coverages on a new policy. You may be pleasantly surprised at the amount of money that rewriting your policy can save you!
Develop a relationship with your agent
Get to know your insurance agent, and always be polite and courteous. Your agent will appreciate your friendliness and will be more inclined to scour your policy for potential discounts and savings you may be missing out on.
If you do not have a local agent and instead handle insurance online or through a 1-800 number, you may consider changing to a company with agents near you. A positive agent/client relationship can mean big savings.