Get Maximum Discounts On Auto Insurance By Taking Out 6 Month Policies In Tulsa, Oklahoma
It can be difficult paying for car insurance that you hope you’ll never need to use, but knowing you’re getting the best deal possible can help ease that pain. Often you’ll hear that paying your car insurance premiums annually can give you the biggest discount, and while that might be true, under the right circumstances you might be able to get overall lower auto insurance quotes by shopping for insurance every 6 months. Let’s take a look at why you might want to take out auto insurance 6 months at a time (biannually).
It’s no secret that car insurance companies prefer that you either pay in advance or set up an auto-draft if you choose to pay monthly. This reduces the risk and administrative workload for the auto insurance company and they pass some savings on to customers in the form of discounts. You’ll get a discount for setting up auto-draft and then even greater discounts if you are able to pre-pay six months or one year at a time.
If you feel secure that you have found the best auto insurance rates and don’t expect any major life changes then you can opt for the annual payments. However, there is another school of thought on this. It could be in your best interest to shop for new automobile insurance rates every 6 months, and if you expect changing companies or upcoming life events could lower your rates, then it’s best not to get locked into a year-long plan.
Why Shop For Auto Insurance Every Six Months?
#1. Automobile Insurance rates fluctuate, they could go up or down each month even if you don’t personally have any changes to influence them. Six months from now the rate could go down and you’d be able to take advantage of that.
#2. Tickets and moving violations could drop off from your record. If you’re waiting for your driving record to clear up then taking out a 6-month policy might work better for you.
#3. Your credit score might improve. In many states, including Oklahoma, your credit score can be used to calculate your premiums. If you’ve been working on your credit score and paying your bills on time then you might see a premium reduction in six month’s time.
#4. Major life events that may impact your insurance rates include getting married, graduating, getting older or moving to a new zip code. Make sure to shop for new insurance rates when you encounter any of these milestones.
#5. Your vehicle might lose value as it depreciates, thereby lowering your auto insurance premiums. While you always need to update your policy if you get a new car, your auto insurance company won’t automatically lower your payments due to depreciation. Shopping for a new policy could net you a better offer.
#6. New customers often get a special offer for joining which could give you a temporary discount by switching auto insurance carriers. Others might give a good discount for loyalty, so get auto insurance quote comparisons often and see which deal results in the most savings for you.