Auto insurance is not cheap, but there are ways to save money. These techniques include tracking your time on the road, comparing policies, and getting a discount. Read on to learn more. And remember, auto insurance is not just for the rich. Even average Joes can save money on auto insurance by following these tips.

Track your driving time.

Tracking your driving time is an important part of getting the best rates on car insurance. Using a mobile tracking device is a popular way to do this. These devices require a smartphone app and use sensors built into the phone. They can detect sudden acceleration or hard braking. The information collected is usually encrypted and used by insurers to assess your driving habits and set rates. They may also offer discounts based on this information.

Tracking your driving time isn’t compulsory but can significantly reduce your insurance premiums. The Progressive Snapshot program was the first to roll out this type of program in the U.S. Since then; other insurers have followed suit. However, you do have the option to opt out of this program. If you do not wish to participate, you can always unplug the tracking device and discontinue using the app or website. However, be aware that this may negatively affect your premiums.

Compare policies

Comparing policies when buying auto insurance is important because not all policies are the same. You can save money by switching companies and receiving better coverage, but you must ensure you get the same coverage and discounts from each company. In addition, make sure you have a clean driving record to ensure a lower premium. Here are some tips for comparing policies: Watch for hidden fees and other charges.

First, look for coverage limits. Cheap insurance policies usually offer the least amount of coverage. Higher coverage limits will provide more protection and cost more to insure. It’s important to know the limits on your coverage to decide how much coverage you need. However, it’s not always necessary to get the highest coverage limit.

Use online insurance comparison websites to compare multiple policies. They are quick and easy to use and can save you time. All you have to do is provide your information, and the site will return multiple quotes. After you have made a decision, you can purchase the policy directly through the site. Insurify’s questionnaire is easy to fill out, and a few minutes later, you’ll have your coverage. A good comparison website should be able to help you find a plan that’s right for your budget and personal situation.

Another factor to consider when comparing policies is the deductible amount. As a rule of thumb, higher deductibles lower premiums, while low deductibles are less expensive. You should weigh the risks associated with high deductibles against the savings you can expect in the long run. You should also consider whether you’ll be covered for the same amount if an accident occurs.

Get a discount

There are several ways to get a discount on your auto insurance premium. You can use usage-based insurance, which automatically adjusts your insurance rate based on your driving habits. This type of insurance can be collected through an ODB-II port or an app on your smartphone. Most of these programs offer a discount to enroll customers. These discounts are applied at policy renewal time, ranging from 5% to 40%.

Some companies also offer discounts for memberships in various clubs and organizations. These include AAA, MENSA, fraternities, sororities, and other groups. Those who are members of the military are also eligible for discounts. These discounts can be extended to family members as well. In addition, many insurance carriers also reward policyholders for using certain safety features on their cars.

Another way to get a discount is to switch companies. Insurance companies usually reward drivers with discounts if they switch companies early. This can save them money on administrative costs. For instance, switching insurance companies early can save you 10% of the total premium. These discounts help insurance companies compete with other companies and promote their presence.

Many car insurance companies offer special discounts for members of certain organizations or professions. Some offer discounted car insurance for veterans, union members, and military personnel. Affinity discounts can help you save up to 25% of your premium.

Avoid calling your insurance company after a collision.

If your car is in a minor collision with another vehicle, contacting your insurance company is unnecessary. If there is only property damage and no injuries, you don’t need to call your insurer. However, if you’ve been involved in a more serious collision, you should immediately call your insurer. Failure to report the accident can result in a denial of coverage. Sometimes, you can avoid contacting your insurance company if the other driver is uninsured or underinsured.

Be polite and respectful when the other driver’s insurance company calls you. They are not likely to care about your injuries and will only want you to give them as much evidence as possible. Be sure to inform them that you are seeking legal representation if necessary. In other cases, you may be asked to provide more information, including details about the accident. However, you should never discuss any details regarding the accident or your injuries with the other driver’s insurance company without a lawyer present.

You should also consult a doctor if you’ve been injured. Doing so is especially important if you are planning to make a claim. It is also important to avoid providing your insurance company with any medical release forms. If you do, they may try to contact you after the accident. It’s also important to note that your recorded statement will be used for your insurance company’s benefit and is often examined for inconsistency and contradictory information.

Shop around

The first step to saving money on your auto insurance is to shop around. Research shows that the average American stays with the same auto insurance company for 12 years. That number increases if you have a teenager. In addition, 14 percent of consumers stay with one insurer for two to three decades. And most consumers (particularly younger people and seniors) are unaware they can switch auto insurance carriers. However, changing auto insurance carriers can help you save hundreds of dollars.

Another great reason to shop for auto insurance is that rates change over time. The company you were considering two or three years ago may have lowered its rates since then. Likewise, if you have a recent major life change, your rates may also have increased. By comparing rates, you will be sure to find the best deal on your auto insurance.

While price is an important metric for evaluating different companies, customer service is also a valuable factor to consider. Also, make sure to ask for any discounts you may qualify for. It’s also good to check out third-party rating services to see how satisfied customers are with a certain insurer. However, remember that some insurers may pull your credit score to provide you with a quote. It’s a soft pull and shouldn’t significantly impact your score.

In the last few years, more consumers than ever have been shopping around for auto insurance. More than 60% of consumers say they shop around once every five years, and another 18% say once every one to two years. Whether you’re a new customer or have been with your current insurer for years, it’s worth comparing your options. It’s also worth noting that loyalty discounts don’t guarantee the lowest rates and aren’t the only way to save money.