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How to lower auto insurance costs

Liability limits, deductibles, teen drivers and what actually happens after an accident.

3 minute readAuto

Quick answer

Bundle with home or renters, raise physical-damage deductibles, remove collision from a low-value vehicle, ask about telematics, confirm mileage is accurate, and claim every discount. Shopping the independent market once a year keeps a carrier's rate increases honest.

What you need to know

Mileage and use codes matter

Commute distance and annual mileage drive rating. A remote-work change can lower premium if it is reported.

Telematics can help — or not

Safe-driving programs can produce real discounts, but hard braking and late-night driving can offset them.

Keep liability high while you trim

Reduce deductibles and optional physical damage before you ever touch liability limits.

Common mistakes

  • Carrying California's minimum limits, which a single injury accident can exhaust.
  • Declining or under-buying uninsured motorist coverage.
  • Leaving a household driver off the policy.
  • Filing small physical-damage claims near the deductible.
  • Never updating mileage, garaging address or commute after a change.

When to talk to an agent

Talk to an agent before adding a teen driver, after buying a vehicle, after an accident or ticket, or any time you are not sure whether your liability limits would survive a serious at-fault crash.

Frequently asked

This article is general information, not a policy or a promise of coverage. What your policy pays depends on its specific terms, limits and exclusions. Ask us to review your actual policy before making a decision.

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