Auto insurance in Michigan is expensive. Our winters, our roads, deer and so many other things native to our State makes for more losses. More losses leads to higher rates. Higher rates leads to driver's driving without insurance. Driver's going without insurance leads to more losses falling onto the people that do have policies, which leads to the policy being more expensive.
And lately, parts and labor have seen a real shortage, leading to more cars being totaled out, or more spent on rental cars... It's a vicious cycle.
So how do you hack your insurance?
And lately, parts and labor have seen a real shortage, leading to more cars being totaled out, or more spent on rental cars... It's a vicious cycle.
So how do you hack your insurance?
SHORT TERM FIXES:
Discounts. Ask for a list of all the discounts from your agent, make sure all that you qualify for are on the policy.
Annual Re-Check: Check the discounts again, at your renewal. We do this automatically for our customers.
Insurance Score: from time to time, yours may improve (especially when you see an uptick in your credit score). If you notice an increase in your credit score, ask your agent to re-run your insurance score; you might be able to see a savings mid-term.
Pay in Full: Offer to pay your policy in full for the year, or some carriers allow for 6 month payments to give that same discount. This can be huge.
Free Policies: Certain policies, like renters policies, or life if your company offers them, can be free or more than free. That sounds crazy, but its the truth: An auto policy may cost $2000 for the year. An auto might cost $1800 when bundled with a $100 renters policy. Take advantage of those hacks if your agent suggests this. If they don't, ask them about it.
Bundling: Check to see if your auto and home/renters/condo policy might see a savings with the same carrier- those "multi-policy discounts" can be huge.
Deductibles: Use larger deductibles when you are comfortable with it. Many times, increasing your deductible by $250 may save enough so that after a couple years without a loss, you'll have saved more than the additional amount of deductible you now have.
Regular Collision: A lot of driver's use Broad form collision, but switching to Regular form can save as much as $100 per vehicle, per year. Again, go a couple years without having a Not At-Fault loss, and you start making money. (Regular form requires a deductible is always paid, regardless if you are at fault or not, while Broad form waives your deductible if you are not at fault).
Annual Re-Check: Check the discounts again, at your renewal. We do this automatically for our customers.
Insurance Score: from time to time, yours may improve (especially when you see an uptick in your credit score). If you notice an increase in your credit score, ask your agent to re-run your insurance score; you might be able to see a savings mid-term.
Pay in Full: Offer to pay your policy in full for the year, or some carriers allow for 6 month payments to give that same discount. This can be huge.
Free Policies: Certain policies, like renters policies, or life if your company offers them, can be free or more than free. That sounds crazy, but its the truth: An auto policy may cost $2000 for the year. An auto might cost $1800 when bundled with a $100 renters policy. Take advantage of those hacks if your agent suggests this. If they don't, ask them about it.
Bundling: Check to see if your auto and home/renters/condo policy might see a savings with the same carrier- those "multi-policy discounts" can be huge.
Deductibles: Use larger deductibles when you are comfortable with it. Many times, increasing your deductible by $250 may save enough so that after a couple years without a loss, you'll have saved more than the additional amount of deductible you now have.
Regular Collision: A lot of driver's use Broad form collision, but switching to Regular form can save as much as $100 per vehicle, per year. Again, go a couple years without having a Not At-Fault loss, and you start making money. (Regular form requires a deductible is always paid, regardless if you are at fault or not, while Broad form waives your deductible if you are not at fault).
LONG TERM FIXES:
Choose an Independent Insurance Agency for Your Car Insurance:
Bundling Policies for Extra Savings
Adjust Your Coverage Wisely
Maintain a Good Driving Record
Increase Your Deductible
Monitor and Improve Your Credit Score
- Independent insurance agencies work with multiple carriers, giving you access to a wide range of insurance options.
- They can provide personalized solutions tailored to your specific needs
- Independent agents are often more invested in your satisfaction since they rely on your referrals and loyalty.
Bundling Policies for Extra Savings
- Many independent agencies offer discounts for bundling your car insurance with other policies like home, renters, or life insurance.
- Use keywords like "bundle insurance policies" or "multi-policy discounts" to find agencies that can help you save big.
Adjust Your Coverage Wisely
- Understand your insurance needs to avoid overpaying for coverage you don't require.
- Consider factors like your vehicle's age, your driving record, and your financial situation when choosing coverage.
- Look for keywords like "customized car insurance" or "tailored auto coverage" to find agencies that can help you optimize your policy.
- Use auto coverage that holds you accountable; its not good to use your insurance whimsically, so higher deductibles are a good way to make sure you don't use your insurance for the little repairs
Maintain a Good Driving Record
- Safe driving not only keeps you safe but can also lower your insurance premiums.
- Search for keywords like "safe driver discounts" to identify agencies that reward responsible drivers
Increase Your Deductible
- A higher deductible can reduce your premium payments.
- Use keywords such as "raise insurance deductible" or "higher car insurance deductibles" to find agencies that can guide you through this process.
Monitor and Improve Your Credit Score
- A good credit score can lead to lower insurance rates.
- Search for keywords like "credit score and car insurance rates" to find agencies that can help you understand this connection and work on improving your credit.
- Pay your policies in full, be on time with payments, find free policies (more insurance the better), stick with carriers for a few years and this will help you build your insurance score