Car insurance is a necessity for all car owners in the state of Florida. Knowing how you can lower your car insurance in Tampa Bay is another step toward being financially savvy. Here are five tips that you can use toward saving on your car insurance policy.
1. Talk to your agent! Explain to your agent what your needs are. They’ll ask for the primary information needed to process your quotes. Your agent will gather competitive quotes and present them to you.
Being armed with knowledge is a good thing. Prior to talking to your agent, you can do some of your own research. You can start out by visiting the National Association of Insurance Carriers and click on their map option. Once there, click on your state (Florida) and you will find a list of the chosen state’s regulators. The NAIC site’s consumer buying guide will help you compare premiums from different companies in your state. You’ll also see if complaints have been reported against any of the companies you are researching.
Most importantly, after doing your own research speak with your agent. Your agent is a trained professional who will be able to explain the pros and cons of choosing a company based on its low insurance rate versus a company with a slightly higher insurance rate who may have a better consumer reputation. Knowledge never hurt anyone.
2. Your credit score is your friend! Treat it well and your insurance rates will treat you kindly. Today, more carriers than ever are considering credit scores as part of their insurance premiums. If you want a lower insurance rate, it is in your best interest to improve your credit score if it is suffering.
When it comes to maintaining a good credit score, you hold the key. Thanks to the Fair Credit Reporting Act the federal government mandates that you are entitled to an annual credit report free of charge from each of the three credit reporting agencies. You can request your report via one of these means:
3. The higher your deductible, the lower your insurance rate could be. You know the saying, “Give a little, get a little”? This saying could definitely be attributed to your insurance premium being lowered.
Here’s a tip: If your premium is lowered by taking the higher deductable, set aside your savings to apply toward your new deductible’s difference. This way, if you do need to use your deductible, you won’t feel your bank account ache, quite as much.
4. If you have an older car, research its value. Chances are, you won’t need collision and/or comprehensive coverage. Here is a good way to figure out if you are paying more into the car than it is worth: Take the number 10 and multiply it with the combined total of your comp and collision premium. For those of us who hated Algebra, here’s an easy break down:
- Comp + Collision = A
- A x 10 = B
- If your car is worth less than “B,” don’t buy the coverage! If you’re still worried about not having enough coverage.
Tip number fives goes back to tip 1, talk to your agent!
5. Talk to your agent about other measures that could help lower your insurance rate, such as:
- Car alarm and anti-theft devices
- Automatic seatbelts
- Teenage drivers with a good GPA (grade point average)
- Age-based reduction (seniors with a safe-driving record)
- Low mileage; cars with low-mileage commute
- A garage
To find out more ways that you can save on your auto insurance policy, contact your Italiano Insurance agent.
