DeAnn Owens
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Cheaper Car Insurance Hinges on Three Chance Events

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Finding ways to save on car insurance usually means hours comparing policies from different companies, weighing discounts and incentives. In other words, it’s a lot of legwork. Three random events, though, might provide the ticket to cheaper car insurance.

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You improve your credit score

Car insurance companies in many states use credit scores to determine rates. If your score is subpar, your rates will reflect that. If your score is good, though, you’ll earn a lower rate, and anytime it improves, is a chance to get an even lower rate, according to The PennyHoarder writer Kari Faber.

Personal milestones

Your personal life and choices have a big impact on how much you pay for car insurance, and certain life events can help you save.

“…big life decisions, like moving to a lower-crime neighborhood, buying a safer car, and, yes, getting married, can make you look good to potential insurers. Once you sign on the dotted line, you could be saving big bucks every month with a new car insurance policy,” Faber reports.

A divorce, move to a neighborhood with higher crime statistics, or an unsafe car purchase can cause your rates to increase, she adds.

Change in your state’s laws

Knowing about a change in your state’s laws regarding car insurance might not be on your radar, but it can influence car insurance rates and rules.

“Unless you’re specifically seeking it out, there’s no way for you to know about these changes. That’s why it’s smart to check out new car insurance options every couple of months, just in case. You could be eligible to change your coverage and pay less for it,” according to Faber.

Car Care: How to sanitize your vehicle against COVID-19

The COVID-19 pandemic has also affected car insurance rates since many people aren’t driving as much as usual. Contact your insurance company and see if and how you can save.