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What Does Dirt Cheap Car Insurance Mean?
Dirt cheap car insurance refers to an incredibly affordable and budget-friendly option for vehicle owners to insure their cars while keeping coverage costs to a minimum. This type of insurance typically offers the basic coverage required by law, including liability coverage that helps pay for damages and injuries to other parties in case of an accident where the policyholder is at fault. As with any insurance decision, striking a balance between cost and coverage is crucial. This ensures financial protection and peace of mind while on the road. While dirt-cheap car insurance might have a lower premium, it’s important to carefully review the coverage limits and terms to ensure it meets your specific needs.
Tips to Easily Get Dirt Cheap Car Insurance
Looking for the best ways to get dirt cheap car insurance online that will save you money? You can follow a fully customizable process to come up with the most affordable rates for your specific needs. Here are the top 16 reasons that will allow you to get the best rates with maximum savings.
1. Drive Safe, Be Smart
The way you drive certainly has a big impact on the cost of getting insurance for your vehicle.
The safer you drive, the most you will save. If you avoid tickets and risks, you will get rewarded in multiple ways, starting with much lower rates.
As simple as that. Good driving behavior means you are following traffic laws and you will be less prone to have at-fault accidents. Tickets are also a bad thing, which means you are not following driving laws or don’t know them enough. In this case, it is preferable that you take a driving course, so the fine won’t affect your record.
It is also possible to use “ticket buster” services that will have your ticket handled on your behalf for an additional cost. Some states provide deferments, i.e. the fine will not end up on your record if you are not fined for a certain period. Otherwise, you will have to wait three to five years before the tickets are cleared from your driving record and you get cheaper auto insurance rates.
2. Drive an Old Car
It is clear that if you have an old vehicle, your policy will come out much cheaper than buying the car of the year. It is more expensive to repair or replace a new car and, therefore the given premium will cost much more.
If you buy a new vehicle, premiums prices are usually 50% higher than those for used cars, especially if they are more than 5 years old.
For example, if you get comprehensive coverage for your new car that costs $35,000, the rates will be much higher to cover that expensive vehicle. On the other hand, a cheap and used car, say a vehicle worth $3,500, will cost much less for parts replacement, repairing, and maintenance. So, the tip is: Get a used car that’s at least five years old and has low mileage for the best insurance deals. Sites like CarGurus.com offer that kind of deal.
3. Get Dirt Cheap Car Insurance with Liability Only Coverage
If you want the lowest possible rates for your dirt cheap auto insurance, then you can consider getting a state minimum liability-only policy. But take into account that when coverage is cheap, it is also risky up to some extent because most accidents are likely to exceed the policy limits.
So, you can get liability-only insurance for only $39 per month. Still, there’s something you should consider:
Buy a liability-only policy with higher limits that provides you with better protection in case of an accident.
4. Choose a Higher Deductible
A higher deductible is a crucial step in getting dirt cheap car insurance premiums, and it’s also relatively within your control. Assuming you are a safe driver, you could consider a deductible between $1,000 and $1,500, which will reduce your premium by 15% or more.
If you have a policy with a high deductible, you should make sure you have the total amount saved in case you have to file a claim in the event of an accident.
5. Drive Less, Save More
If you drive less than 800 miles per month, you will obviously get fewer chances to have an accident. This leads to lower insurance monthly rates, as there are discounts for drivers who do not drive more than 1,000 miles per month. It is the rule to get lower rates. A quick tip for this point: if you do not need to drive a lot, you should turn to a usage-based policy or pay-per-mile insurance (based on providers like Metromile). In this case, you will only have to pay per number of miles driven.
Compared to standard policies, those drivers who drive less than 100 miles per week can save up to 40%.
6. Keep Your Credit High
Insurance companies use a scoring system to weigh their risks and use statistical data extensively for these evaluations. Years of using this data have proven a fact:
Drivers who score below 700 are more likely to have and cause more accidents, file false claims, make late premium payments, and change insurance companies frequently. These drivers are therefore charged higher rates.
Therefore, to get dirt cheap auto insurance rates, you should:
- Try to keep your credit above 700. If you have a lower score, try to raise it as much as possible.
- Request a credit report and check out if any wrong items make your score lower.
- Pay your insurance bills in a timely manner.
7. Consider Group Auto Insurance Plans
A good practice is to get a group insurance plan, for example, by grouping friends, relatives, or coworkers, so that everyone takes out a policy with the same company. Insurance companies often reward the fact of covering a number of people in the same contract, which can usually save you up to 10% on your rates, and sometimes more.
Some large insurers such as State Farm or Allstate have particularly attractive discount offers for group insurance purchases.
8. Avoid Financing or Leasing a Vehicle
As most people believe, leasing a vehicle can be a way to get a new car at lower monthly rates. Nevertheless, leasing companies require the purchase of full coverage insurance that can cost twice as much or more than a liability policy. Some auto loans also require this type of insurance. Therefore, it is better to own your car in order to enjoy dirt cheap car insurance.
9. Pay Your Premium in Full
In order to save, it is better to pay the total amount of the premium rather than paying monthly installments. This can result in additional savings ranging from 1 to 2%. So, that means more savings and fewer bills.
10. Avoid Living in Populated Areas
Living outside of populated areas may be relatively up to you, but it also plays an important role, as zip code is another factor that determines insurance rates.
Congested urban regions command higher rates than low-traffic rural areas.
In addition, accidents and auto thefts are more likely to occur in large cities. In general, cars lead a safer life in rural areas. So living in a suburb influences your rates. You can enter your zip code and compare the rates that come up.
11. Get Married
This may sound strange, but it is also real. Being married can reduce insurance rates by 2%, as statistical studies show that married drivers are more responsible and less prone to take risks. Statistically, they have fewer accidents than single drivers. So, in the insurance world, it is definitely better to be married!
12. Bundling Insurance Products and Save
In the logic of insurance, to bundle is saving. This is because it is good to bundle, for example, your auto and homeowners insurance policy with the same company and save 5% on your rates. You can also insure more than one vehicle under the same insurance policy. Some insurers also offer discounts when combining auto and life insurance. Remember, the more you bundle, the more you save.
13. Take a Defensive Driving Course
It would help if you considered completing a defensive driving lesson, and you will possibly get one of the best discounts from your insurance company.
This is because people who complete these types of courses become better drivers and are much less likely to have traffic accidents or make false claims.
Taking these classes can result in savings of up to 10%. For information on defensive driving courses near you, contact your local DMV.
14. Live in a State that has Cheaper Rates
The cost of your insurance also depends on the state where you live. You can save up to half of the rates depending on this. Just compare the average price of a premium in Ohio, which is $990, to one in Michigan, which is $2110, making this state one of the most expensive to insure a car. Other states with higher average rates are Louisiana and California. Of course, you don’t choose a state to live in based on insurance, but just so you know that this plays a role too. Next, let’s check out the states with the cheapest rates:
15. Get All the Discounts You Qualify for
Here’s a list of top discounts you can get when getting auto insurance. They include:
- Safe Driver
- Good Student Discount
- Senior Citizen Discount
- Resident Student Discount
- Military and Veteran Discount
- Married Discount
- Homeowners Insurance Discount
- Non-Alcohol-Drinker Discount
- Safe Driver Education Discount
- Customer Loyalty and Retention
- Continuous Coverage Discount
- Automatic Payment and Paperless Discount
- Bundled Policies Discount
- Occupational & Organizational
- Passive Restraints Discount
- Garage Parked
- Safety Features Discount (airbags and anti-lock brakes)
- Anti-Theft System Discount
16. Shop Around for Dirt Cheap Car Insurance
Direct auto insurance companies offer lower rates than traditional insurance providers, who offer their services through agents. Savings directly impact the consumer through lower rates. So, the best place to find fast and very cheap car insurance no deposit is online.
We are talking about savings of $500 or more, so the choice to buy car insurance online is not trivial. We also advise comparing quotes online from at least ten different regional and national providers. Simply enter your zip code to start a quick application.
Takeaways on Dirt Cheap Car Insurance
In short, getting cheap car insurance depends on several smart choices and actions. These actions include reducing your risk profile as much as possible, having good driving behavior, driving less, taking advantage of discounts, living in areas with lower rates, and many other factors we have detailed in the course of this article.
See how easy it is to save hundreds on your dirt cheap car insurance just by comparing rates starting right now.