An increase in auto insurance costs can create a worry for anyone trying to balance a budget. It does not have to be a stress factor, though.
Whenever your car insurance increases, take the time to consider why. Then, work with your agent to find the most affordable options. Insurance is not something to allow to lapse. Non-payment isn't an option.
Why Is Your Car Insurance Cost Rising?
There are many reasons why your auto insurance provider may increase your rates. Most insurers set your rates based on the amount of risk you present to the insurer. For example, a high-risk driver is likely going to pay more. However, other factors can cause rates to increase as well.
Some examples include the following:
- You received a speeding ticket.
- Your credit score changed significantly.
- You received other moving violations.
- You bought a different vehicle.
- Others on your policy received a moving violation.
- The company raised rates across the board.
- You filed a claim on your policy.
Most of the time, auto insurance companies do not increase rates immediately. They wait until the policy renews. This means you may see these rates change now for something that happened six months ago.
What Can You Do?
When your auto insurance costs rise, take action. First, call your insurer to find out why this occurred. They may be able to tell you. It's important to know the underlying cause. Then, take a few steps to get a lower rate.
- Ask about taking a safe driving course. If you received a ticket, this may help you get a lower rate.
- Consider any types of discounts or rewards you may have available to you.
- Bundle insurance plans to reduce overall costs.
- Ask for a reduced rate. Let the insurance agent go to work for you to find a lower price.
Don't wait. The worst thing you can do is to wait too long. The sooner you take action, the more likely it is that you will find a lower rate. The good news is that most drivers can work to reduce their costs over time. Be sure your policy matches your specific needs, too. Don't reduce your coverage to get a lower rate. That puts you and your vehicle at risk.
We've got you covered. Call (541) 383-1733 for a Bend OR auto insurance quote.