Here’s a quick hypothetical for you: you’re given two quotes for two completely identical auto insurance policies. Quote 1 is $2000 annually and Quote 2 is $1800 annually. I’m going to go out on a limb and say it’s safe to say you’re going to choose Quote 2. But what if you could bring the price of both quotes down another couple hundred dollars? You’re still probably going to pick quote 2, but now you’ve saved even more money than before.
The point here, is that it’s safe to assume that all of us want to save money on our auto insurance. So while shopping around for insurance might help you find another quote, Here are things you can do right now to save yourself some money:
- Plan before you shopTaking a few moments to plan ahead is probably the best money saving tip on this list, so keep this one in mind as you read, because the other tips here often refer back to this one.
If you already have auto insurance, time your shopping appropriately. If you try switching in the middle of your contract, you’ll likely find yourself paying a chunk of cash to opt out of it. Don’t let yourself put it off either – all policies include an auto-renew feature that make it easy to miss out on your golden opportunity to switch policies. Set a solid date (we recommend between 30-40 days before your existing insurance ends/renews) to start looking for quotes.
Make sure you have accurate information and know what you need as well. Can you handle a large deductible, or will you need something a little lower? How much liability coverage do you need? Not only will this help you make informed decisions about your policy, it will also save you a good amount of time.
- Usage-Based InsuranceSome insurance companies provide the option to track your driving habits for a set period of time through an app on your cell phone. The results may save you money when you renew your policy, but usually there will be a discount applied just for opting in. The best part of this is that there aren’t really any risks and the savings potential can be substantial. The results of your driving habits cannot count against you as a surcharge or be used to raise your premium and the better you drive the more money you save.
- Choose your vehicle wiselyShopping for a new or used vehicle? The choice you make here can either cost or save you a lot of money over the next few years. Whether you decide to get a vehicle that’s fresh off the lot, or you’re more interested in a used car, make sure you do your research. If you’re buying a new car, look up its IIHS safety ratings. If you’re looking at a used vehicle, the Insurance Bureau of Canada website can provide plenty of information that will help give you an idea of how much a particular model might cost you relative to other models.
- 1-time annual payJust about all auto insurance policies are annual contracts that the insurance company provides the option to pay down monthly. As a result, some companies will provide a discount if you pay for your annual policy up front. When you’re shopping around, make sure you ask if this is an option. Again, if you plan everything ahead of time and give yourself the opportunity to save enough money before it comes time to buy insurance, this is a quick and easy way to bring those annual costs down.
- Buy Winter Tires
Most, if not all, Insurance providers in Ontario offer incentives to use winter tires. Not only will winter tires get you an extra discount on your policy, you’ll be greatly reducing the risk of causing an accident during our region’s unpredictable winters. None of the discounts you can get on your insurance premiums will come close to the amount of money you’ll save by not being in an accident.