How to Get a Discount on Your Auto Insurance Policy

The best way to obtain a discount on your auto insurance policy is to try to think like an auto insurance company. Sounds a bit odd, but it makes sense. If you were an auto insurance company what would you look for and reward by offering a premium discount.

Difficulty: Moderate

Instructions

1. 
   Discount

   Combine coverages for a multi line discount. Insurance companies love to make money. The more policies they write, the more money they make. If you offer to give your auto insurance company your homeowner’s insurance policy, you are eligible for a multi-line discount.

2. Keep a check on your credit. Auto insurance companies reward drivers with good credit. They have found that there is an inverse relationship between good credit and claims. The better the credit, the lower the number of claims and visa versa.

3. Reinforce your driving skills by taking a safe driver class. Insurance companies apply a discount for safe driving classes.

4. Inspire your teen to keep good grades. Maintaining a B average or better makes your high schooler eligible for an auto premium discount.

5. Increase your deductibles. By increasing your deductibles, the insurance company pays less per claim and they reward the policyholder with a deductible credit. Before deciding how high to increase your auto insurance deductible, analyze how much you can afford to pay out of pocket per claim.

6. Talk to the insurance underwriter and ask about available premium discounts.