AMIGO MGA lists 8 helpful tips that you should know about auto insurance

1. 8 T H I N G S Y O U S H O U L D K N O W
A B O U T A U T O I N S U R A N C E

2. 1 . M I N I M U M S ?
• We all want to
save money
where and
whenever we can.
And yes, buying
the minimum
amount of
coverage allowed
by law will save
you money short-
term, but it won’t
necessarily save
you anything in
the long run.

3. For example, if you choose a high deductible policy, you’ll have cheaper premiums. But
that also means you’ll have to fork out more cash before you can make a claim.

4. 2 . L A R G E R D E D U C T I B L E S M E A N A L O W E R P R E M I U M , B U T
T H I N K A B O U T W H AT A N A C C I D E N T W O U L D C O S T Y O U .
• Let’s say you have $5,000 in repairs after an accident. A $1,000 deductible means you’ll have to pay out-of-
pocket for 20 percent of the costs. If you have a $250 deductible, you’ll only be paying one-twentieth of the
costs.
• You’ll have to weigh that with the difference in premiums for high-deductible policies and decide what
makes the most sense for you.

5. 3 . T H E R E A R E D I S C O U N T S F O R
E V E RY T H I N G O U T T H E R E , A N D T H AT
I N C L U D E S Y O U R A U T O I N S U R A N C E .
• Many cars nowadays come
with safety features and
alarm systems that will
lower your premiums. You
can also save by having a
good driving record, taking
a defensive driving course
or being a customer for a
certain number of years.
Ask your agent about the
discounts that you might
be eligible for.

6. 4 . C O M B I N I N G P O L I C I E S
C A N S AV E Y O U M O N E Y.
• It’s not just something you hear in commercials; some insurers will actually knock
off up to 15% from both your auto and home policies if you bundle them together.
Just make sure both policies provide you with the right amount of coverage.

7. 5 . B U T I T S T I L L PAY S T O S H O P
A R O U N D .
• While you can get healthy discounts for being a long-time customer and for having more
than one policy with the same insurance company, it also pays to shop around. A study by
InsWeb.com found that drivers can save more than $300 on policies when they switch.

8. 6. DONT LIE
• You might save a few bucks by saying you park in a garage instead of on a street, but chances
are the savings are very small compared to what could happen in you get caught. If you get
found out, you could face higher rates or you may be dropped altogether.

9. • Also be honest about
listing the drivers who may
operate your car. What
would happen if a tree fell
and cracked your entire
windshield? Or if you let
someone else drive your
car and they got into an
accident? You don’t want
to get yourself into a bad
position all because you
weren't honest with the
company that is there to
protect you.

10. 7 . F I L E C L A I M S
R E S P O N S I B LY.
• Your insurance
is there to
protect you,
but you could
be in for
higher rates if
you file a claim
every time a
grocery cart
rams your
passenger
door.

11. 8 . R E V I E W, R E V I E W, R E V I E W.
• As your car gets older,
you may not have the
same needs as you did
when it was shiny and
new. Consider
lowering some of your
coverages if your
vehicle already has a
few dings that you’ve
decided you’re willing
to live with.