I just received my automobile insurance renewal packet and for the first time, I really reviewed what coverages I have and what I am being charged for those coverages.

This is another area of your finances where it is important to pay close attention to what you are getting for your money. Many people stay with an insurance company so long, they don't bother to shop around for a better rate. Shopping for insurance is about as fun as going to the dentist but just like going to the dentist, it is necessary.

I just realized I am getting a number of discounts such as:

  • Multiple Policy. I have my homeowners insurance, auto insurance, rental property insurance and umbrella policy with the same company.
  • Paid in full. I save enough money in my freedom account to be able to pay my insurance premiums in full. I take the total amount of the premium for the year and divide it by 12. I then take that amount and have it directly deposited into my savings account each month.
  • Good Payer. The insurance company I am with has not had to send my a cancellation notice as I pay my policy in full prior to the due date. As long as I continue to do this, I will keep getting the good payer discount.
  • New Car. My car is less than 2 years old so I am getting a discount on my insurance premium. This is one discount I would mind not getting if my car was older and paid off.
When was the last time you obtained a rate comparison for your auto insurance? Been awhile? Start shopping around today!!! Don't know where to start? Try these sites:

Insurance.com - Instant auto insurance quotes from the top insurance companies. Customers saved an average of $451.
InsureMe.com - Instant quotes on auto, health, home or life insurance.

10 comments

  1. RacerX // January 16, 2008 at 9:17 PM  

    Don't forget to see if your car is available for dicounts based on type or safety features! This save us$115 a year with our insurance.

  2. Anonymous // January 17, 2008 at 11:24 AM  

    Good tips for saving on our auto insurance. I have been late a time or two on the bill and didn't realize I might be penalized for it. You post will lead me to more on time payments!! Thanks!

    Jerry
    www.leads4insurance.com

  3. Money Blue Book // January 17, 2008 at 3:40 PM  

    With Geico, you can simply ask them to apply all discounts and they will do the search for you. My premium dropped after Geico automatically applied all discounts.

  4. Melissa // January 17, 2008 at 4:26 PM  

    As Money Blue Book pointed out, several companies will give you discounts based off of other things. For instance, your credit score. I did use your search but my own insurance company came back almost $200 higher since my discounts aren't applied to it.

  5. fandd // January 17, 2008 at 8:33 PM  

    Another good idea is to check your policy for discounts if you take certain driving courses.

  6. BeThisWay // January 19, 2008 at 8:20 AM  

    A good article to get people started thinking about their car insurance. You've inspired me to start my own series on insurance - something I've been putting off for quite awhile.

    Enjoy your blog!

  7. SingleGuyMoney // January 19, 2008 at 1:31 PM  

    *Be This Way: Glad to inspire you!! Thanks so much for reading my blog and I'm glad you enjoy it.

  8. Mary T // January 25, 2008 at 2:47 PM  

    We saved about $500 per 6 months by dropping Geico! I found a local ins. dealer that sells a large variety of policies and had them find me the cheapest. I could not believe how much we saved. We have old cars and only need liability but when renewal came around Geico upped our bill hugely, I called them and they said it was due to something on my son's record that was over 2 years ago--he hasn't even had a parking ticket since them, so I didn't buy it, I just said--adios. Mary

  9. BeThisWay // January 30, 2008 at 7:51 PM  

    Just wanted to let you know that I finished that series on buying auto insurance. I'd love to know what you think, since you were my inspiration. :)

  10. SingleGuyMoney // January 30, 2008 at 9:30 PM  

    *Be This Way: Please post the link to your site.