You shop around for auto insurance every year, right? This habit helps you compare different companies, upgrade or downgrade your coverage based on your needs, save money and ultimately ensure you have the best possible coverage. Do you know which month offers the most affordable auto insurance?
When you Shop for Auto Insurance Matters
A recent study conducted by 4AutoInsuranceQuote.com tested auto insurance rates during a 12-month period. The results reveal that auto insurance quotes vary by as much as 48 percent based on which month you shop.
December is the cheapest month for auto insurance quotes. Shop during the last month of the year, and you could save up to eight percent. Unfortunately, March is the most expensive month for auto insurance purchases.
Where you Shop Matters
Your location also influences your auto insurance costs. Hawaiian residents pay up to 48 percent more when they buy a policy in March. Pennsylvania residents spend more for auto insurance when they shop in April. Some areas don’t follow the norm, though. Eleven states report higher auto insurance rates in December.
Why do Prices Fluctuate?
Despite the results reported in this study, no one knows why auto insurance prices fluctuates. States each regulate their own auto insurance, which could play a role. Also, the results could change each year based on new car purchases and other factors.
Find Additional Auto Insurance Savings
Even though March is the most expensive month in which to purchase auto insurance, you can still save money on a new policy this month.
1. Ask at least three different companies for a free quote. Compare the price and the coverage from all three companies as you decide if switching insurance companies is fiscally responsible.
2. Raise your deductible. Increasing it by even $250 can lower your premiums. Consider an increase of $500 or $1,000 for even greater savings.
3. Combine policies. Insure your auto and home with the same company, and you could be eligible for a discount.
4. Upgrade your vehicle. A small SUV, a low-mileage vehicle or a car that’s loaded with safety features like anti-theft devices could lower your auto insurance premiums.
March might be the most expensive month for auto insurance, but take time to shop around anyway. You could find big savings on this valuable coverage.
