Car Insurance and Savings Dilemma
I’m reaching out for some advice regarding our current situation. My husband and I are living with his parents to save for a house. A year ago, my husband was in a car accident, which has left him too anxious to drive. His car has been sitting in the driveway, uninsured and unused.
I’m considering selling my fully paid-off car to help us save for a house faster and driving his car instead, since he doesn’t use it. However, when I looked into car insurance, the quotes were around $1,300 a month for both of us because of his accident history.
With car payments and insurance combined, we’d be looking at nearly $2,000 a month, which is simply not feasible for us right now while we’re trying to save. I’m wondering if anyone has advice on how to navigate this situation or if they know of more affordable insurance options.
I’m also curious if there’s any way to temporarily avoid the high costs tied to his accident. I thought about only adding myself to the insurance, but it seems that I have to include him as my spouse, even if he doesn’t drive. Any tips or insight would be greatly appreciated! Thank you!
It sounds like you’re in a tough situation, but it’s great that you’re focusing on saving for a house. Here are some options you might consider:
Shop Around for Insurance: Not all insurance providers will quote you the same rates. Consider reaching out to multiple companies to get quotes. Some lesser-known or regional insurers might offer more competitive rates compared to larger companies.
Adjust Coverage Levels: If you decide to keep your husband’s car, look into reducing coverage or raising deductibles for the time being. This can lower your monthly premium significantly. Just be mindful of the risks involved with reduced coverage.
Use Your Car as Leverage: Since your car is paid off, you can sell it, but before doing so, make sure to evaluate how much you’ll actually save by driving your husband’s car. Compare insurance costs, potential maintenance, and registration.
Add Only Primary Driver: When obtaining quotes, clarify with the insurance provider if only your name can be on the policy as the primary driver. Some providers may allow this if your husband is not actively driving the vehicle.
Consider a Non-Owner Policy: If your husband plans to drive again in the future, he might consider a non-owner car insurance policy, which covers him while he drives vehicles he doesn’t own. This can be a lower-cost option if he doesn’t plan to drive soon.
Consult an Insurance Agent: Sometimes, speaking directly with an insurance agent can uncover options that might not be apparent online. They can provide insights tailored to your specific situation.
Reevaluate Your Overall Finances: It might also be useful to sit down and map out your overall budget. Identify areas where you can cut back temporarily to ease the financial burden while you save for a house.
Talk About Alternatives: If driving your husband’s car doesn’t work out due to insurance issues, consider carpooling, using public transportation, or sharing a ride with friends temporarily until your finances allow for a more sustainable solution.
Ultimately, balancing car insurance with your goal of saving for a house will be key. Take your time to explore all options before making a decision. Good luck!