For many drivers, the road to lower car insurance rates starts — and stops — when it’s time to renew. However, there are times outside of the renewal period where you can get a lower rate for the same coverage. The secret lies in knowing when mid-policy savings may be available. The good news is these opportunities are not fleeting or obscure; in fact, they’re often milestones that are hard to miss.
Every insurance provider calculates their rates differently; therefore, you may find that you can get a better deal on your coverage by switching. Cheap auto insurance rates are no accident. Here are 10 other times in life it pays to shop around for a lower car insurance rate.
1. When you pass your G road test
When you ditch your probationary G2 licence for a full unrestricted driver’s licence, you’ll be able to ditch your higher auto insurance rate, too.
2. When you turn 25
Young drivers pay more for insurance than older, experienced drivers. Once you turn 25 years old, you will likely see your auto insurance rate dip. The more experience you gain driving, the more savings you’ll see on car insurance. For good drivers, this could be a surprise birthday present waiting to be unwrapped.
3. When you buy a new car
Repairs, auto theft rates, and safety features all affect how much it costs to insure your vehicle. But no two insurance companies are alike when it comes to how they calculate their rates. If you’re driving around town in a new (or new-to-you car), see if you can drive down your premium by comparing rates and switching providers.
4. When you get married
Marriage, or moving in with your partner, can also affect your insurance rate. If you’re listed on the same policy, your spouse’s driving record now affects your rate, too, which means the insurance provider that offered you the best rate when you were single or living apart may no longer offer you the best rate now that you’re partnered or living together.
5. When you get divorced
Breaking up is hard to do, but if your ex has a spotty driving record, a fresh start with a new insurance provider may be a separation that helps you save.
6. When you buy a home
Your driving record, insurance history, vehicle type, and commute, all play a role in the premium you pay, as does where you live. As a result, when you move homes, it may be time to move auto insurance providers, too. You’ll also want to consider bundling your home and auto insurance with the same provider, as this can save you up to 20%.
7. When you add a teenage driver to your insurance policy
It’s no secret that teenage drivers typically pay more for insurance than experienced, older drivers. Some insurance companies, however, are more teen-friendly than others. If you have a new driver in your household, it’s worth seeing if another insurance provider will give you a better rate. You’ve got nothing to lose when you shop around for additional coverage with teen drivers in the house.
8. When you get a traffic ticket
Traffic tickets can be costly in more ways than one. If convicted of an offence, it will stay on your driving record for up to three years. Once your tickets are cleared, you could potentially save money with your now-clean driving record and a new insurance provider.
9. When you get into a collision
Like traffic tickets, at-fault collisions can crash down hard on the cost of your premium. Collisions stay on your record for at least six years. However, after six years of accident-free driving, getting a lower rate is possible.
10. When your daily commute changes
When your daily commute changes, whether it’s because of the pandemic, retirement, a change in employment, or change in driving habits (e.g., taking public transit more frequently), your insurance rate could change as well. By spending less time behind the wheel, you can enjoy spending less on your coverage, too.
Why wait for a lower premium to make its way to you? Find your cheapest car insurance quote by comparing quotes from 50+ providers in a single search at InsuranceHotline.com.
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