Tips for Lowering Your Car Insurance Premium at Renewal
My wife and I are currently insured with Progressive for our two cars. After relocating to Colorado six months ago, our premium started at around $475 for the first half of the year. Unfortunately, we just received our renewal notice for the next six months, and the cost has jumped to approximately $625, even with the lump sum payment discount applied.
I’m confused about this increase since we haven’t had any tickets or accidents, and I haven’t adjusted our coverage in any way. We participated in Snapshot and were told we could save an additional $55 by continuing with it, so it’s difficult to understand how our driving habits could have caused a $150 hike in our premium. The online portal doesn’t clarify the reason behind the rate increase.
I’m looking for advice on how to lower our premium without changing coverage. If I reach out to Progressive to discuss the price hike, would mentioning the possibility of switching to a competitor encourage them to offer a lower rate? If that’s the case, what information should I bring to the conversation?
It’s frustrating when you see your car insurance premium increase without clear reasons, especially when you haven’t had any claims or changes in your coverage. Here are some strategies to help you potentially lower your premium without changing your coverage:
Shop Around: Before contacting Progressive, obtain quotes from other insurers. Knowing what other companies charge can give you leverage when discussing your premium. Websites like Insure.com or The Zebra can help you compare rates quickly.
Contact Customer Service: Call Progressive and express your concerns about the increase. Ask for a detailed explanation of the rate hike. Be polite but firm in your request. Mention that you’re considering other insurers and see if they can provide a better rate to retain you as a customer.
Ask About Discounts: Inquire if there are any additional discounts you might qualify for that you haven’t taken advantage of yet. This could include multi-car discounts, bundling with home insurance, or discounts for low mileage.
Review Your Coverage: Even if you don’t want to change coverage, review your current policy for any extras you may not need. For example, if you have comprehensive and collision coverage on an older vehicle worth less than your deductible, it may be worth dropping those.
Improve Your Credit Score: Insurers often look at your credit score when determining rates. Make sure your credit score is in good shape, as a better score could help lower your premiums.
Adjust Your Deductibles: While not directly changing your coverage levels, you could consider raising your deductible. Just make sure you’re comfortable with the increased potential out-of-pocket costs in case of a claim.
Utilize the Snapshot Program: Since you’re already in the Snapshot program, maintain good driving habits and continue to use it. Once your recent driving data is analyzed, you may see further savings based on your driving patterns.
When you call Progressive, be ready with:
– Quotes from other insurance companies.
– A clear explanation of your driving record (no accidents or tickets).
– Any changes in your life (e.g., moving to a safer area) that could impact rates.
Being prepared with this information can help make a strong case for a review of your rate. Good luck!