7 Ways You May Save On Auto Insurance Because Of COVID

Chances are that during this COVID lockdown, yoiu did a lot less driving.  For many people this resulted in a check showing up one day in the mail.  A refund check from your auto insurer. 

Yes, it may have been a small check, but heck ... that money is better in your pocket than the insurers, especially when their pay-outs for claims is far reduced due to significant reduction of insured driven miles by their policyholders.

More Possibilities for Savings

But beyond that check, there are other opportunities for savings on your auto insurance costs.

 Let's look at some you can consider:

• Permanently Reduced Mileage. If you find that you are now working from home far more, on a permanent basis, you can call your insurer and have your annual travel mileage changed to reflect that new driving level.  In some cases it may result in a reduction of your premium.  Another option with some carriers is to look into a "pay per mile" option for coverage. Be sure to work the math before changing to that option.
• Change Auto Status. While on the phone with your insurer, check to see if your auto (or one of them) can now qualify as a "pleasure" vehicle, rather than a "business" vehicle.  If so, it may provide additional savings.
• Shopping Around: It's never a bad time to shop around between insurance companies.  Now is no different.  This also includes letting your existing insurance company know that you are considering others.  That may motivate them to provide some incentives.
• Bundled Savings. If you don't have your home and auto bundled together, it's a potential source of savings.  Call your representative and see how much this may save you.
• Single Policy. If you are in a relationship and using different auto insurers, look at the potential for putting all of your autos on one policy for group discount.  Note that in addition to potential savings, this may help eliminate some serious coverage loopholes where you are not covered, due to using multiple insurers.
• Coverage Levels. Is you auto older?  Do you still need the same levels of coverage?  Can you accept higher deductible amounts?  By carefully reviewing your policy, you may be able to squeak out some savings by modifying your existing policy conditions.
• Revisit Your Needs. It may be possible that you determine that your transportation needs have changed.  Maybe you don't need two or more autos any longer.  Selling one and eliminating the costs associated with that auto (including payments, upkeep, insurance, depreciation, etc.) can be significant, if you don't need the transportation.

It's never a bad time to review various elements in your risk portfolio.  This is a great time to check your transportation needs and costs.  Simple changes may provide significant savings to you.