Tips for Saving Money on Auto Insurance

1. Comparison Shop

Prices for the same coverage can vary by hundreds of dollars from company to company, so it pays to shop around. Check the Internet, ask friends or call
the North Carolina Department of Insurance (1-800-546-5664) for ideas about companies and agents to contact. Get at least three different quotes, but don’t
shop on price alone. Also, make sure the company and agent are licensed to do business in North Carolina. The insurer you select should offer both fair prices and excellent services. Quality personal service may cost a bit more, but provides added conveniences, so talk to a number of insurers to get a feeling for the quality of their service. Ask them what they would do to lower your costs. Check the fi nancial ratings of the companies with A.M. Best (www.ambest.com) or Standard and Poor’s (www.standardandpoors.com).

2. Ask for Higher Deductibles

Deductibles represent the amount of money you pay before you make a claim. By requesting higher deductibles on collision and comprehensive (fi re and theft) coverage, you can lower costs substantially.

3. Drop Collision and/or Comprehensive Coverages on Older Cars 

It may not be cost-effective to have collision or comprehensive coverages on cars worth less than $1,000 because any claim you make would not substantially
exceed annual cost and deductible amounts. Auto dealers and banks can tell you the worth of your car.

4. Buy a “Low-Profile” Car

Before you buy a new or used car, check into insurance costs. Cars that are expensive to repair, or that are favorite targets for thieves, have much higher insurance costs.

5. Take Advantage of Low-Mileage Discounts 

Some companies offer discounts to motorists who drive less than a predetermined number of miles each year.

6. Consider Insurance Cost When Making a Move

Costs tend to be lowest in rural communities and highest in cities where there is more traffi c congestion.

7. Find out About Automatic Seat Belt or Airbag Discounts 

You may be able to take advantage of discounts on some coverage if you have automatic seat belts and/or airbags.

8. Inquire About Other Discounts

Some insurers offer discounts for things like no accidents in three years, drivers over 50 years of age, driver training courses, anti-theft devices, good grades for students and having more than one car insured with that company.