How to save on car insurance has always been a topic for discussions. Several websites and search engines provide great tips for saving on car insurance. We have converted all tips into a very easy to remember statement:

Saving on Auto insurance is really very S.I.M.P.L.E

Shop Around:

By comparison shopping for auto insurance you can save over 20%. However, this process requires caution. Before you switch, consider the cost of losing any loyalty or good-driver discounts you’ve earned. . If you’re serious about switching, first look into the insurer’s consumer complaint record, which you can do at your state’s department of insurance via the National Association of Insurance Commissioners website. Also be aware that getting a full-fledged quote for coverage may appear on your credit record and your insurance record. If you decide to shop around and want to compare the majors with some locals, go to the Independent Insurance Agents & Brokers of America website or InsWeb.com to find someone local to give you a quote

Increase your deductible:

Higher deductible means lower premium: This is a simple equation. Deductible and premium goes in opposite directions. The more deductible you have, the less premium you will pay. If your current deductible less than $500, you’re probably paying a premium for your coverage, according to the Insurance Information Institute.

Simply increasing your deductible from $200 to $500 could reduce the cost of collision and comprehensive coverage by 15% to 30%. How does that translate into actual dollars-and-cents savings? Well, with the average annual premium around $820, that one move could put $123 to $246 back in your pocket. Increase your deductible to $1,000, and we’re talking 40% or more in savings on your premium, or $328-plus.

Remember, the higher your deductible, the more money you will pay out-of-pocket before your coverage will kick in. The cleaner your record, the better your rates.

Multiple Insurance with the same company:

Combining your auto and homeowners coverage with the same company can save you anywhere between 5-25%. Many insurers will give you a break if you buy two or more types of insurance. You may also get a reduction if you have more than one vehicle insured with the same company. Some insurers reduce the rates for long-time customers. But it still makes sense to shop around! You may save money buying from different insurance companies, compared with a multipolicy discount.

Professional group memberships can save money too!

GEICO unit gives discounts to members of a number of organizations and associations — including Berkshire shareholders. Alumni associations and other groups often negotiate better rates for members by delivering volume business. So inquire.

Less Driving means Less Auto Premium

According to a SmartMoney survey of major auto insurers, driving fewer than 7,500 miles annually can earn you discounts of 10% to 34% on your premium. Customers whose one-way commute clocks in at less than 10 miles may be eligible for an additional 5% discount at some insurers. Insurers require different levels of proof, ranging from a simple phone call letting them know you’re spending less time behind the wheel to using an electronic mileage/speed diagnostic device.

Every little bit helps: A 10% discount means $82 off the average annual cost of coverage.

Even more savings

According to the Insurance Information Institute, you can save even more from any one or combination of following!!

• Insuring more than one car.
• No accidents in three years.
• No moving violations in three years.
• Drivers over 50-55 years of age.
• Taking a driver training course.
• Taking a defensive driving course (see “More ways to save” below for details).
• Having a car with an antitheft device.
• Having a car with safety features such as air bags, antilock brakes or daytime running lights.
• Being a student with good grades.
• Combining your auto and homeowners coverage with the same company.
• Having college students away from home.
• Being a longtime customer.

The list may seem long, but the savings can stack up significantly. For example, combining your homeowners and auto coverage is often worth a 10% to 20% discount. Young drivers who are students acing their classes could get a 25% break.

By using above tips you can save a ton on Auto and Car insurance!