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Comparison Shop

Compare quotes from as many different insurance companies as you can find. While an insurance comparison website can give you a general idea of a company's prices, always call and talk to them in person to be sure the quotes are correct. Sometimes, a company will offer special incentive rates for new clients that are not advertised online.

Buy Insurance at the Same Time as a Car

If you're in the market for a new or used car, buying your insurance at the same time can save you money. Some car dealers have partnerships with insurance companies, offering special discounts that are exclusive to their customers.

Bundle Your Insurance

Bundling home, health, or life insurance along with your auto insurance can get you a lower rate on all of these services. Ask your current insurance company about bundled rates. They are usually willing to give you a bundled deal, rather than have you buy your auto insurance from another company.

Ask About Employee Group Discounts

Some employers offer group insurance policies for their workers. These rates are generally much lower than the same rate would be for an individual policy. Find out what your employer has to offer. If you use your car for work, you may qualify for an even bigger discount.

Take Advantage of Low Mileage

People who don't drive their car a lot are considered low risk and might qualify for a better price on their auto insurance. Calculate how much you actually drive in an average week, as well as the total mileage on your car. You may be able to get a cheaper rate.

Pay Yearly Instead of Monthly

Although it can be tempting to go with a smaller monthly payment, paying for your auto insurance yearly will get you a better deal, saving you an average of 9 percent. This really adds up, especially when you have more than one vehicle.

Switch to Paperless Billing

If you haven't already, switch your auto insurance to paperless billing. Switching to paperless billing will save you a few dollars per billing cycle. It might not seem like much, but why pay any more than you have to?

Set Up Automatic Payments

Many insurance companies also offer discounts for automatic payments. Set up your bill to be paid automatically by credit card or directly from your bank account and save yourself a few extra dollars.

Take a Driving Course

Taking a driving course can get you a deeply discounted rate on your auto insurance. These courses aren't just for new drivers. Even if you've been driving for years, taking a driving course can still be worth your while, and can save you big on your insurance.

Don't Buy More Than You Need

This is perhaps one of the easiest ways to save on auto insurance, and yet, often the most overlooked. When you apply, most companies will give you a bundle with certain coverage options included by default, selling services that most people never actually use. Go over your insurance policy to see if you really need everything you're paying for, or if you can save by cutting some of those unnecessary extras.

Every driver needs insurance, but that doesn't mean you should be paying a fortune for it. Use the tips above to cut your auto insurance bill, and put some money back in your pocket. And, don’t forget to take your vehicle to NASCAR for a squeaky-clean wash!