Can’t Afford Auto Insurance? Here’s What You Need to Do

Can’t Afford Auto Insurance? Here’s What You Need to Do

Car insurance can be expensive even if your vehicle is paid for or you don’t drive often. Accidents, moving violations, or DUI convictions on your driving record might aggravate the matter. Fortunately, you can reduce the cost of your auto insurance by using some simple cost-cutting measures.

Car Insurance Typical Costs

Any car owner is almost always required to have liability insurance in most states. If an accident is proven to be your fault, this covers the damage or injuries you may have caused to others. Fines, jail time, and other penalties may be imposed if you drive without auto insurance.

Factors Affecting Car Insurance Premiums

To determine how much you’ll pay for coverage, a variety of factors are considered:

  • Driving record: Having a good driving record can help you save money on auto insurance.
  • Driving activity: If you drive a lot, you’ll usually pay more for insurance because you’re more likely to get into a car accident.
  • Age: Older, more experienced drivers usually pay less than younger, inexperienced drivers. However, once you reach retirement age, rates tend to rise again.
  • Car type: An automobile with a high safety record, a low probability of being stolen, and a history of lower-cost maintenance are likely to have lower car insurance rates.
  • Credit: In certain areas, insurers can use a credit-based insurance score, which is different from a standard credit score, to assist in determining your premiums.

How to Make Your Car Insurance More Affordable?

If you’re having trouble paying your vehicle insurance premiums, there are a few things you may do to save money:

  • Thorough research: When you compare premiums from different insurers, you might find coverage that matches your specific requirements.
  • Raising your deductible is a good idea: A larger deductible saves your insurer money on claim payouts. Therefore, your premium may be reduced in exchange for a higher deductible.
  • Inquire about special offers: Discounts for being a good student, remaining accident-free, or avoiding traffic tickets for three years are a few examples of discounts provided by insurers.
  • Get pay-per-mile insurance: Pay-per-mile insurance has a monthly fee that varies depending on how little or how much you drive.
  • Improve your credit scores: Your payment history and outstanding debt are two important factors that affect your credit scores.
  • Boost your credit score: Insurers say they consider an individual’s credit scores in their rate-setting process.


Best Cars for Economic Horsepower


How to Obtain Financial Assistance with Auto Insurance?

  • Seek assistance from a licensed credit counselor: A nonprofit credit counseling firm can assist you in developing a budget and making recommendations for better debt management.
  • Extra labor can help you earn more money: Look for alternatives to supplement your income to aid with your financial problems. In addition to your normal job, this could include freelance work, gig work, or a part-time job.
  • Consolidate your debts: You might be able to get your finances in order by asking for a debt consolidation loan, which allows you to combine many loans into a single loan with a lower interest rate than your current bills.

Evaluate your car’s condition periodically and regularly review your auto insurance policy to ensure that it provides adequate coverage. Contact our experts at CAV Insurance Agency to get a personalized auto insurance policy within your budget.

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