15 Ways to Save Big on Your Car Insurance

By | August 11, 2023

Car insurance could be very expense for any driver, nevertheless that doesn’t mean you have to go as far as breaking the bank to stay covered. With the right tips and strategies, you can as well significantly reduce your car insurance costs. This reduction comes without compromising on the quality of the said coverage. In this post, we’ll explore 15 practical ways to save big on your car insurance premiums.

A car simplifies your movement because you don’t have to wait for the bus or a taxi if you want to go somewhere. However, with the added cost of insurance, you will be personally liable in the event of an accident without auto insurance. So, ensure that you have car insurance if you have a car to drive with ease.

While getting auto insurance, you must ask your insurance agent about the different ways to save on your insurance coverage. However, ensure that you do not save too much to the extent that you leave yourself vulnerable or underinsured.

How Much Does Car Insurance Cost

Various factors influence the cost of car insurance, including the state you reside in, the driver, the insurance company, and the type of insurance coverage you settle on. However, if you want to save money, knowing the typical amount a driver pays is essential. Unfortunately, the cost of auto insurance is increasing due to economic changes.

A survey conducted by AAA found that in 2020, the average driver paid a total of $1,202  for auto insurance. This is a significant increase from $1,190 paid in 2018. Therefore, as you budget for your auto insurance, keep in mind that the cost increases as the years and the economy changes.

1. Shop Around for Quotes

Never settle for the first car insurance quote you receive as a final decision. It should be noted that different insurance providers offer varying rates. What you need to do is to keep calm, take the time to compare quotes from multiple companies. There are several online comparison tools make this process easy and convenient.

2. Bundle Your Policies

If you have multiple insurance policies, such as home and auto insurance, consider bundling them with the same provider. Many insurers offer discounts to customers who purchase multiple policies from them.

3. Raise Your Deductible

Opting for a higher deductible can significantly lower your monthly premiums. However, be sure you can comfortably cover the deductible in case of an accident.

4. Maintain a Good Credit Score

Believe it or not, your credit score can impact your car insurance rates. Insurers often use credit-based insurance scores to determine premiums, so maintaining a good credit score can help you secure lower rates.

5. Drive Safely

A clean driving record can lead to substantial savings on your car insurance. Avoid accidents and traffic violations to maintain a safe driver status and qualify for discounts.

6. Take Defensive Driving Courses

Completing a defensive driving course demonstrates your commitment to safe driving. Many insurance companies offer discounts to drivers who have successfully completed such courses.

7. Opt for Pay-As-You-Go Insurance

If you’re a low-mileage driver, consider pay-as-you-go or usage-based insurance. This type of coverage charges you based on the number of miles you drive, which can result in significant savings if you don’t drive frequently.

8. Choose a Less Expensive Vehicle

The type of car you drive affects your insurance premium. Typically, cheaper cars with good safety records cost less to insure than high-end luxury vehicles.

9. Install Anti-Theft Devices

Equipping your car with anti-theft devices, such as alarms and tracking systems, can make your vehicle less susceptible to theft. Many insurers offer discounts for having these devices installed.

10. Maintain a Good Driving History

Some insurance companies offer a discount to drivers who have maintained a clean driving history for a certain period. The longer you go without accidents or violations, the more you can save.

11. Review Your Coverage Regularly

As your circumstances change, your insurance needs might change as well. Review your coverage annually to ensure you’re not paying for unnecessary add-ons or missing out on discounts.

12. Ask About Group Discounts

Certain professional associations, alumni groups, or employers offer group discounts on car insurance. Inquire whether you’re eligible for any group-based savings.

13. Consider Usage-Based Apps

Some insurers offer mobile apps that monitor your driving habits. By driving safely, you can earn discounts and rewards through these apps.

14. Remove Unnecessary Drivers

If someone in your household no longer drives your vehicle, consider removing them from your policy. Having fewer drivers listed can lead to lower premiums.

15. Maintain Continuous Coverage

Avoid gaps in your insurance coverage, as this can lead to higher premiums in the future. Even if you change insurers, make sure there’s no lapse in your coverage.


Saving money on your car insurance doesn’t mean sacrificing protection. By being proactive, taking advantage of discounts, and maintaining a good driving record, you can significantly reduce your car insurance costs while keeping yourself and your vehicle covered.


1. Will changing my deductible affect my coverage? Yes, opting for a higher deductible might lower your premiums, but it means you’ll pay more out of pocket in case of a claim.

2. Can defensive driving courses really make a difference? Absolutely, completing a recognized defensive driving course can lead to discounts and improved driving skills.

3. Are pay-as-you-go insurance plans reliable? Yes, many reputable insurers offer pay-as-you-go options, and they can be particularly advantageous for low-mileage drivers.

4. Can I get discounts for both anti-theft devices and safe driving? Yes, most insurers will allow you to stack discounts, so using anti-theft devices and maintaining a safe driving history can lead to extra savings.

5. How often should I review my coverage? It’s a good idea to review your coverage annually and whenever there’s a significant change in your life, such as getting married or buying a new car.