When searching for car insurance, drivers should call several companies to ask for estimates, as prices vary greatly from one company to another, advises Fox Business. Considerations in saving on auto insurance premiums include maintaining good credit, having a clean driving record, participating in safety programs, and bundling auto insurance with homeowner's and umbrella policies. Drivers can save on monthly premiums with high deductible plans, but they should be sure the plans include uninsured motorist and umbrella coverage, reports Forbes.
Drivers planning to shop for car insurance should check their credit reports to be sure there are no errors, as most insurers base the cost of policies partly on credit information, explains Fox Business. Drivers who complete qualifying safety courses also receive discounts, especially if they have clean driving records. Many insurers give further discounts if drivers own cars with high safety feature rankings.
High-deductible auto insurance plans involve a higher financial risk of payouts for minor repairs, but the risk is offset by significant monthly premium savings, according to Forbes. Drivers should always have uninsured motorist coverage, which offers protection from a driver's own policy for accidents caused by negligent uninsured drivers. Umbrella policies take effect when other policies terminate, and drivers need them for coverage from catastrophic injuries or excessive liability lawsuits.