How to Negotiate the Best Car Insurance Rates

If you’ve been paying the same car insurance rates for years, it is probably time to consider negotiating for a better price.  While many people get used to writing out their insurance checks and not thinking about it anymore, the fact is that car insurance rates are very flexible.  By keeping your eye out for good deals and being proactive in requesting reductions, you can save yourself hundreds of dollars on your auto insurance.

1. See What Other Companies are Charging

The first step to determining how good your car insurance rates really are is to shop around with other companies and see if they can offer you a better deal.  Using the internet, it is easy to get dozens of quotes in just a few minutes.  If other companies offer you better car insurance rates, you have the choice of switching or using that information as a bargaining tool to convince your insurance agency that your rates are too high.

2. Evaluate Your Auto Insurance Needs

An effective way of lowering your car insurance rates is to evaluate the plan you are currently using and see if it is still applicable.  For example, you may have needed collision and comprehensive insurance on your car when you started with your insurance company five years ago, but if your car has decreased in value to the point where they hold no economic advantage for you anymore, then you can lower your car insurance rates dramatically.

3. Combine Your Insurance Plans

For a drop in your car insurance rates of up to 15% without changing a thing, consider combining your insurance plans with one company.  Renter’s insurance, homeowner’s insurance, and insurance for your small business can be covered by one agency for a steep discount.

4. Ask For Discounts

It’s amazing what a difference simply asking about discounts can make to your car insurance rates.  Agencies discount car insurance rates for a wide variety of reasons, including the length of time since you’ve had an accident, whether you’ve gotten married or graduated college, whether you’ve taken any driving safety courses, and whether you’ve entered a different age bracket.  Ask your agency whether you qualify.

Your car insurance rates may be far more flexible than you’ve ever believed.  By evaluating your options, sitting down with your agent, and negotiating your car insurance rates, you can make a significant difference to the amount of money you’re paying out every year.