Tips for Lowering Your Car Insurance Premium at Renewal
My wife and I have our car insurance with Progressive and recently moved to Colorado 6 months ago. Initially, we paid around $475 for our two cars for the first six months. However, we’ve seen our premium jump to approximately $625 for the next renewal period, even after applying the lump sum payment discount.
I’m baffled as to why the cost has gone up. We haven’t received any tickets or been involved in accidents, and I haven’t adjusted our coverage at all. We participated in the Snapshot program, which indicates we could save an additional $55 by continuing with it, so it’s hard to believe our driving habits have led to a $150 increase. Unfortunately, their online platform doesn’t explain the price hike.
I’m looking for advice on how to lower my premium without changing my current coverage. If I call to ask about the increase, would mentioning that I’m considering switching to another provider encourage them to offer a better rate? If so, what documents or information should I have ready for the conversation?
It sounds frustrating to see your insurance premium increase, especially when there haven’t been any changes on your end. Here are some steps you can take to potentially reduce your car insurance premium upon renewal without altering your coverage:
Review Your Current Policy: Double-check your current coverage limits and deductibles. Make sure everything is still in line with your needs. Sometimes, you might discover areas where you can make adjustments without sacrificing coverage.
Shop Around: Even if you’re happy with Progressive, it’s a good idea to get quotes from other providers. This will give you leverage when negotiating with your current insurer. Being aware of competitive rates can help you make a stronger case.
Ask for Discounts: Inquire if there are any discounts you might be eligible for that you aren’t currently receiving. For instance, see if you qualify for multi-policy discounts, safe driver discounts, or discounts for being a member of certain organizations.
Take a Driving Course: Some insurers offer discounts for completing defensive driving courses. Check if Progressive has this option.
Renegotiate with Progressive: When you call Progressive, express your loyalty as a customer and mention you’re exploring other options due to the increase in premium. Have your quotes from other companies ready; this could motivate them to provide you with a more competitive rate. Be clear about what you’re looking for—whether it’s a specific amount or just a gesture of goodwill.
Inquire About Telematics Programs: Since you mentioned Snapshot, ask if there are additional savings available by monitoring driving behavior over a longer term. Consistent safe driving could help lower your premium further.
Check Your Credit Score: Many car insurance companies consider your credit score when determining rates. If it has improved since you got your policy, ask if that could lead to a lower premium.
Look for Bundling Options: If you have any other types of insurance (like home or renters), consider bundling them with Progressive for a potential discount.
Stay Informed: Car insurance rates can change based on factors such as market conditions, loss ratios in your area, or even changes in state laws. Staying informed about these aspects may help you understand your rate changes better.
Ultimately, approaching the conversation with professionalism and a clear expectation can lead to better outcomes. Good luck!