How to Negotiate Car Insurance Rates

Negotiating car insurance rates is important in lowering the cost of insurance paid every month. There are many hidden discounts that can be claimed to get a huge reduction in monthly or yearly costs. There are many factors that go into calculating car insurance rates and the more familiar a person is with those factors, the lower their rates can be.

• Research all the discounts that can be offered for things like good driving, marriage discount, multiple policy discounts and no accident discount. This can have a tremendous impact on the cost of car insurance rates.


• Call around and shop different rates with the different insurance companies. Competition can be fierce so be sure to use this as a bargaining tool to get the rates down further. This will help give leverage between a great rate and an ok rate.


• Ask about their pre-payment discount. Some people pay monthly rates for their car insurance. This can end up costing more for the entire year. By paying the insurance premiums upfront, you can save quite a bit of money.


• Read the fine print on the insurance coverage. Sometimes they throw in added services that are not really necessary. For instance, roadside assistance is an extra service that costs more per month. If this is not necessary to have, be sure that it is removed.


• Pay attention to the type of coverage for each vehicle that is insured. Sometimes a person carries more insurance than they really need. This could end up saving money if the amount of coverage can be reduced.


• Ask for discounts on features like anti-lock brakes and low mileage on the insured car. Let each company know that other insurance agents are offering these discounts. The agent may take a second look and find a few discounts to give. 


• Verify the deductible on the policy. Occasionally raising the deductible a couple hundred dollars can mean a bit difference in the cost of the premium. A savings that can be added by just a few minor adjustments can be great.


• Ask about the age discount. There are discounts for drivers once they reach a certain age. This can take you out of the high risk category and into a much less expensive category, which saves money on the premium.