- 1). Decide if you need full coverage or minimum coverage. In a pinch, you can get minimum coverage even though you need full coverage to make sure that driving your vehicle is "legal". However, be aware that the bank will soon get notification that you are not carrying the required coverage, and either attempt to repossess the vehicle, or place their own risk protection on the car and bill you for it. This is a very expensive option, and you should always get the necessary coverage for your vehicle to avoid any complications.
- 2). If you require full coverage, you can get some quotes online, but be careful; some of the larger companies that advertise how you can save money by purchasing insurance through them are actually more expensive than some of the smaller insurance companies. Get a few quotes, and compare them before making a decision. Companies that advertise big, cost big, and you are the one who will pay for it.
- 3). If you require minimum coverage, use your phone book instead of the internet and find a small insurance company. Call them and tell them that you need the cheapest "bare bones" coverage available, without any extras. Most insurance companies will try to sell you extras, such as glass coverage or road side assistance, which you may or may not elect to purchase. Be aware that these extras cost you extra, and when you are trying to find cheap car insurance, you may not want to splurge on these items. You have the right to ask if features can be removed from your policy to save you money. It may be cheaper to purchase things like road side assistance from an auto club, as opposed to your insurance company.
- 4). Find out if you can get a discount for paying your yearly premium in full, or by adding additional policies, such as your home policy to your new carrier. Often these bulk insurance packages will save you even more money. Ask specific questions, such as, "How can I get the premium down?" or "Is there a way you can make my insurance a little cheaper?". Insurance agents want to sell you coverage that will put more money in their pocket, however, if you ask these questions up front, they are usually glad to eliminate any extras that you don't need to help you save money.
- 5). The vehicle you purchase will have a big effect on your premium. Obviously, a Ferrari will probably run a much higher premium than a nice, used Toyota. Choose your car carefully; as you will continue to pay for it, even long after you have paid the bank for your vehicle.
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