Check the Car Rating
Insurers charge more for cars that have high claims rates regardless of owner driving record. Some charge you less for collision and comprehensive coverage if your car scores well for durability and safety. Check the statistics on the new car you want before you buy.
Raise Your Deductible
If you can afford it, consider raising your deductible. The idea is that you can be prepared to pay for the damages yourself, so the insurance company does not have to in the event of an accident. They like this. So, if you can do it and transfer the risk to yourself, then you might be able to reduce your premiums up to 40%. Then you can take part of those savings and put them into an emergency fund, still coming out on top.
Reduce Old Car Coverage
If you have an old car that you are replacing with the new car, you should reduce the amount of collision coverage you have. The reason for this is that insurance companies will not pay more to fix a car than the car is worth.
Cars more than five years old, depending on their value, but not be worth the collision and comprehensive insurance coverage. Remember that every year of depreciation diminishes the maximum claim that you are able to make with collision coverage.
Use the Same Company
If you have a car already and you are getting ready to buy a new car, be sure to use the same company to get your policy. Insurance companies will give you discounts if you put more than one car on the same policy. Often you can get upwards of 15% off the policy for doing this. The same is true if you combine your auto insurance with your home insurance.
If you can avoid it, do not pay in monthly or quarterly installments. If you can afford it, pay your premium in a lump sum instead. Insurance companies tend to charge extra fees if you pay premiums in monthly or quarterly installments.
Better Credit Score
Insurance costs are tied strongly to your credit history and insurance claims. In many states, your credit score directly impacts the rates you are given. You should review your credit score in-depth to make sure everything is accurate and there are no errors.
If you have bad credit, work hard to systematically bring it back up as you pay bills on time, repair debt, etc… Then go back each time the score improves to ask about lower rates from your insurance company.