Can I Negotiate For A Lower Car Insurance Premium?
¬†Q: Can I negotiate a lower car insurance rate with my insurance company? I don’t like how much I’m paying.
AIS Answer: As a general rule you can’t negotiate a premium that the insurance company has given you as a binding quote on a policy because the quoted premium rate is based on your individual risk and the total amount insured among other things. However, like many services, you do have options.
In the auto insurance industry your insurance premium is based primarily on your assessed risk and the amount of coverage needed. The rate you’re quoted is likely the only price option the insurance company will give you for specific coverage, as this is the sum they believe accurately warrants the risk of providing coverage in the event of an insured loss. In other words, your individual risk is directly tied to your individual premium, which is directly tied to their promise to pay a claim in the event of a loss - and insurance company’s do not like to be wrong when assessing risk.
While your risk may not be negotiable, you can always try to qualify for any applicable discounts (safe driver, good student, etc) as this may help in reducing your car insurance premium with that particular insurance company. Also, if you own a home many insurance companies may be able to insure that as well, and you’ll often see lower premiums on both products.
Talk with your agent or insurance company and see what can be done about lowering your existing rate. Chances are they may have some good ideas for saving money now or in the near future, but even if your rate isn’t negotiable with your current insurance company, you may easily find lower automobile insurance premiums with another company.
You should always shop around for car insurance, and there’s no better time than now to start saving money on a new policy.
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I’ve asked my insurance agent before if I could get a better price and she looked at me like “What?”. Apparently it’s a take-it-or-leave-it price when they tell you what you’re supposed to pay. Guess they don’t have a lot of wiggle room in price.
it would be great to be able to haggle a lower insurance price. After awhile you start running out of discounts.
there are a lot of discounts, but ya, you can’t really haggle carinsurance prices. That would make it a lot more affordabl though.
contact an independent agent in your city and they will get you the best rates on car insurance. Much better than any of those companies that advertise on TV.