Make Sure You Are Not Paying Top Dollar for Insurance
Even if you can afford the sticker price, is it worth having an expensive car when you factor in the insurance? Car insurance varies from state to state, with Michigan being a state with one of the highest insurance premiums, as it has no-fault insurance policies for accidents and provides virtually unlimited medical benefits for those that fall victim to an accident. On the other hand, states with less large cities where accidents are less frequently to occur are therefore paying the lowest premiums out there. When you do decide to buy or lease your next vehicle, make sure you shop around. According to a J.D. Power insurance study, those that shop around can save just under $400 annually by switching insurance carriers, so at least try and get a few quotes from different companies before deciding on the policy for you. Make sure you check all discounts that you can qualify for, including insuring multiple cars and home, married, a student, or even pay the entire premium every six months instead of installments each month. You might even be surprised about getting discounts for driving short commutes or being rewarded to having a college degree.
You would not think that buying insurance would resemble retail sales with different pricing, and while there may not be a Black Friday sale, or commercials that Progressive are now open on Thanksgiving to sell insurance do not exist yet, according to a survey by InsuranceQuotes.com, there are different prices for each month you buy. December is actually the least expensive month to purchase insurance, while March is the most expensive. When you are in the process of getting your quotes, think about who the drivers are going to be on your policy. Do you have a teenage child that will be allowed to drive your vehicles? Well you could plan on your policy almost doubling, let alone can you imagine what it was cost for say a 16 year old to have their own insurance policy? Thinking of getting them the sports car they want? You may faint when you see the amount.
No matter which carrier it is, which discounts you qualify for, make sure you are not paying top dollar for your insurance policy. There are so many carriers out there that should be begging for your business, so if you have a good driving record and credit score, it should be yours for the taking.