So you finally have your first car. Unfortunately, paying for it is tapping you out. You need to shell out for gas, spare parts and maintenance. Obviously, you can’t scrimp on these necessities. So you have to cut back on your car insurance rates. As of 2006, car owners paid over $800 annually for their insurance.  Maybe you can do better. So how can you get a budget car insurance quote that won’t strain your financial resources?

The first step in getting budget car insurance rates is to shop around. With the Internet, doing such comparison shopping is a snap. You can go to the websites of individual insurance companies and get free quotes, or you can visit sites that offer rate comparisons of various insurers. Once you have this information then you can make your selection, taking into account deductibles and coverage. You can also use this information to bargain with insurance agents.
Tell them that you’ve found a cheaper policy and they may try to match it. Also, if you have a good driving record or your car has safety features such as anti-lock brakes, be sure to stress these when listing vehicle information for the policy, as such factors can also lower rates.

Also, avoid getting more insurance than you need. Find out the minimum amount of insurance mandated by laws in your state and limit your policy to this coverage. Avoid extras such as fire damage and theft to keep your rates low. And pick the highest possible deductable. While you may have to shell out more in case of an accident, this potential expense may be offset by lower insurance rates.

You can also consider pay as you go insurance. This involves the insurance company putting a device in your car to monitor your car’s mileage; you only have to pay the company for coverage on the miles driven. This type of insurance is not for everybody, but if you have a car that you use infrequently or if you have an antique jalopy that you only take out every once in a while, then this may be a practical choice for you. You should also consider that standard insurers will offer you discounts if you don’t use your car much, so it might be a better choice to simply use the bus more often or hitch a ride with your neighbor.

Finally, consider bundling your insurance. If you buy your home and car insurance from one provider, you can enjoy substantial savings on both policies.