Published On: Wed, Sep 23rd, 2015

Five Ways to Save Money on Auto Insurance in Florida

As the years go by, the cost of auto insurance (like everything else) keeps going up and up with salaries remaining stagnant or growing by pennies. If you are a driver anywhere in the State of Florida, you know that even the cheapest insurance is going to cost more money than you’d care to spend. Consequently, it is important to find the lowest rates. Here are 5 ways to save money on auto insurance in Florida.

1. Compare Rates Between Insurance Companies

Although most insurance companies offer pretty standardized coverage, some offer more perks than others. Sometimes these ‘perks’ can affect the cost of your policy, unbeknownst to the average driver. One thing you will want to do is compare rates between at least two or three insurance providers. Just make sure that the coverage is the same before making your ultimate decision.

2. Maintain Safe Driver Status on Your License

Most, if not all, insurance companies offer a discount for maintaining a ‘Safe Driver’ status on your driver’s license. If you have been fined for a lapse in your insurance, an at fault accident in which you had no coverage or driving while under the influence, you could be required to carry SR-22 Insurance. Even so, while more expensive than safe driver insurance, you can find companies that offer lower premiums and can greatly save money in this way. Before buying SR-22 insurance from just anyone, make sure that you are getting the best rates and reliable coverage.

3. Only Carry Legally Required Coverage

If you drive an older model automobile, you probably don’t need to carry collision and comp. These can often add up to more than the cost of replacing an older vehicle so perhaps you just want to carry only those options that are legally mandated by the State of Florida.

4. Ask About Available Discounts

Some insurance providers offer discounts for such things as being over the age of 55 and having passed a safe driving course for seniors, living in areas that are considered ‘safe’ due to lower rates of accidents, driving low miles annually or even a discount for carrying multiple policies from one company. Some auto insurance companies also offer renters insurance, life insurance, homeowners insurance and other types of policies that you already purchase anyway. Why not see about getting a multi-policy discount?

5. Have Your Deductible Raised

Bear in mind that an underwriter’s actuaries base the cost of insurance on the risk the insurance company is going to take on. If you carry collision and comprehensive coverage, choose a higher deductible that will automatically lower the amount of your premium. Why is this? The reason is simply because in the event you need to make a claim on your policy, the amount the insurance company needs to pay will be reduced by the amount of the additional deductible you are responsible for paying. Insurance companies are willing to split the savings with their insured so you will get a break by raising the amount you are willing to pay in such an event.

These are the 5 best ways to save on auto insurance in the State of Florida and actually, in most other states as well. Car insurance is a must have for all drivers – it isn’t always cheap but it can be affordable if you follow these tips.

About the Author