Although there are many car insurance companies available, most drivers tend to overlook the savings and options that available to them. According to surveys conducted by Consumer Reports, most people remain with the same car insurance company for an average of 15 years. However, insurance companies can change their premiums and policies over time, and individuals are at risk for missing out on savings by not comparing their policies to other companies, asking for discounts or changing plans in their policy.

Compare Quotes

The first step to take when looking for cheap car insurance is to compare auto insurance quotes from different companies. The easiest way to compare quotes is via websites that offer the option of finding and comparing insurance companies and quotes in your area. Provide your basic information, along with your driving history and driver's license data, and within a few minutes you will have a plethora of insurance quotes to review. If you would rather talk to an insurance representative in person, contact your state insurance department. The The state agency can refer you to insurance companies in your area, and may also provide you with information regarding the history and any complaints about most insurance companies in the state.

Ask For Discounts

Once you have determined which insurance company suits your budget and needs, find out next if you are eligible for additional discounts. Many car insurance companies will offer a variety of discounts for a good driving history, your age, your vehicle anti-theft devices, driving courses you have completed and if you drive a low annual mileage. Discounts could also apply if your household has student drivers, if you cover more than one car with your policy, if you combine auto coverage and home insurance with the same company and if your vehicles have safety devices such as air bags and anti-lock brakes. Be certain to inquire about all the discounts and incentives that your chosen insurance company provides before signing any paperwork.

Increase Your Deductible

You can save several hundred dollars per year by simply increasing the deductible on your auto insurance. A deductible is the amount of money that you pay when you have been in an accident before your insurance company's coverage plan provides coverage. According to the Insurance Information Institute, if you change your deductible from $200 to $400, on average you will save 40% per year. The downside is that the insurance will not be liable to pay out benefits on claims smaller than your deductible. On the other hand, if you do not mind the added risk that you may need to pay a bit more out of pocket in case of an accident, increasing your deductible will save you money.

Source:

Insurance Information Institute: Auto Insurance

Insurance Information Institute: State Organizations

Auto Insurance Quotes: Compare Insurance Quotes

Resource:

Consumer Reports: Auto and Insurance Guide