Auto insurance

This is the average car insurance payment. Are you paying too much?

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Don’t get taken for a ride.


Key points

  • The average monthly auto insurance premium is $196 according to a recent survey.
  • There are steps you can take to reduce your costs, such as talking to your insurer.

If you’re going to own a vehicle, you need car insurance – there’s no doubt about it. But car insurance can be expensive. The average monthly auto insurance premium now sits at $196, according to a new doxoINSIGHTS report. That’s a lot of money to spend considering it’s besides to other vehicle expenses, such as auto loan payments, maintenance, repairs and fuel – the cost of which has skyrocketed in recent times.

No matter how much you currently pay for auto insurance, you may actually be overcharged. Or, to put it another way, you may qualify for a lower premium rate. To see if that’s the case, follow these essential steps now.

1. Shop around for a better deal

Auto insurers use different criteria to determine how much to charge customers. These criteria include the number of years of driving experience you have, your driving history, and the type of vehicle you purchase, as well as its cost.

But car insurance rates can vary widely from company to company, even if you fill in the same information in different applications. If you’re wondering if you’re paying too much for auto insurance, the only real way to know may be to see if there’s a better deal out there. If you research different quotes, you may find an insurer willing to offer you a comparable level of cover at a lower price.

2. Ask your insurer if there are any discounts available for current customers

Some auto insurers offer customers the opportunity to lower their premium rates by taking a defensive driving course. Or, you might manage to get a discount on your insurance by avoiding travel violations for a while. Either way, it pays to ask your insurance company about the discounts they make available to customers. This way you will see which, if any, are feasible.

3. If you work remotely, let your insurer know

Many people have switched to permanent remote work as a result of the pandemic. If you now do your work from home, instead of going to the office five days a week, it is certainly worth notifying your car insurance company.

The more you drive your vehicle, the more likely you are to have an accident. But if your vehicle isn’t driven much because it’s mostly parked in your driveway during the week, your insurer may be willing to lower their premium rates. Even if you have a hybrid schedule that requires you to be in the office one or two days a week, it’s still worth seeing if you can get a discount on your insurance due to an overall reduction in mileage.

Consumers today face exorbitant costs of living. It’s worth jumping on any opportunity you might have to save some money. If you think you’re paying too much for auto insurance, don’t hesitate to search for a better deal, learn about discounts, and see if working remotely saves money.

Make sure you choose the right auto insurance coverage

Car insurance is something most people don’t think about very often. Although there are many factors that lead people to change car insurance companies, it is important to educate yourself to ensure you choose the right coverage for you. The right coverage means not paying for coverage you don’t need and not giving up coverage that is right for you. Although price is a major factor, we also consider other factors such as customer service and the claims process when choosing what we believe are the best car insurance providers.