Tips for Lowering Your Car Insurance Premium at Renewal
My wife and I have our car insurance with Progressive, and after moving to Colorado six months ago, we’ve seen some unexpected changes in our premiums. Initially, we paid about $475 for two cars for the first six months. However, our rate jumped to approximately $625 for the next six-month period, even after factoring in the lump sum payment discount.
I’m puzzled by this increase because we haven’t received any tickets or been involved in accidents, and I haven’t altered our coverage in any way. We participated in Snapshot, which indicates that we could save an additional $55 by continuing with the program, so I find it hard to believe that our driving habits could have caused a $150 increase. Plus, the website doesn’t provide any specific reasons for the hike.
I’m wondering what steps I can take to lower my premium without changing my coverage. If I call and inquire about the increase, will mentioning the possibility of switching to another insurance provider lead to a better rate? If so, what information should I have ready for the conversation?
It’s frustrating to see a premium increase without a clear explanation, especially when you haven’t had any accidents or tickets. Here are some strategies you can consider to possibly reduce your insurance premium upon renewal:
Research Competitors: Before calling Progressive, check quotes from other insurance providers. This will give you a benchmark to work with and strengthen your case if you decide to negotiate with Progressive.
Contact Progressive: When you call, express your concern about the increase and ask for a clear explanation. You can mention that you’ve done research and have found lower rates from other companies. Be polite but assertive about wanting to understand your premium increase.
Inquire About Discounts: Ask about any discounts that you may be eligible for that you haven’t applied yet. Sometimes there are discounts for things like having a good credit score, bundling insurance policies, or being part of certain organizations.
Review Your Coverage: While you mentioned you don’t want to change coverage, it’s worth double-checking your current policy. Ask if there are any coverages you can adjust or remove without significantly impacting your protection.
Consider Increasing Your Deductible: If you have a solid financial cushion, you might consider raising your deductible, which could lower your premium.
Use Snapshot Wisely: Since the Snapshot program indicates you could save $55 by continuing, make sure to keep that in mind and ask if continuing with it will further impact your premium.
Document Your Driving History: Keep a record of your clean driving history and be ready to present this during the conversation. It reinforces your case for a lower premium.
Compare Again After Discussion: If Progressive is unwilling to negotiate, definitely consider switching providers. Use the quotes you gathered to see who can provide you with the best offer.
Negotiating your rate is very much about being informed and prepared. Good luck!