Top 5 ways to Save Money on Auto Insurance

It's a big budget item for you every year - paying for car insurance.

A recent study by nerdwallet.com found most Americans overspend by as much as $360 on car insurance every year.

That's compounded in Florida where we pay some of the highest car insurance rates in the country.

"Insurance is about protecting your assets. To go too cheap means more money out of your pocket," said Lynne McChristian from the Insurance Information Institute.

With the help of McChristian we created a list of the top 5 ways to save on Auto Insurance. Starting with: 

1. Bundle your insurance

Check your homeowners or renters insurance and bundle. That could mean big savings. 

2. Discounts for a garage

Lynn says if you live in a gated community and have a garage, both can mean a discount for you.

3. Not shopping around could cost you

The Consumer Federation of America says some insurance companies will charge you more if you've shown in the past that you're not the type who shops around. They could even do this if you've never caused an accident or been issued a ticket.

4. Don't shop for the lowest payment alone

You can raise the deductible and save up to 40% but be careful.

"You should never take a higher deductible than what you can afford." Even if you're saving money month by month, you would have to shell out more cash if you're in an accident," said McChristian.

5. Talk to your agent at least once a year

-Tell them about any new safety features you have

-Ask if any new discounts are available

-Don't sit around waiting for savings to come to you

"They buy it once and don't want to think about it anymore. But insurance requires you to be an active participant."

About three percent of a Floridians' annual income goes to car insurance. It's already higher in Florida than in most states, so why pay more than you need to?

Source: http://www.wptv.com/homepage-showcase/5-ways-to-save-money-on-auto-insurance