Save up to 50% on your Auto Insurance: Get Rid of Collision and/or Comprehensive Coverage on Older Cars

Comprehensive and collision coverage will cover the replacement of your vehicle in the case of theft, vandalism, or natural disaster, or in the case of a collision, respectively. This is terrific, but what if your car is only worth $5,000. Generally the cost of comprehensive and collision coverage is somewhere around 40%-50% of your entire policy. You could be in a situation where you are paying more in insurance than your car is worth.

So how do you figure out if you are paying too much. Add up your comprehensive and collision coverage premiums and multiply them by 10. If that number is more than the current Kelly Blue Book value of your car then don't buy the coverage. "But what if I get in an accident?" you say. Let's look at the statistics. In general the average policyholder only makes a claim once every 11 years. As for total losses, the average policyholder reports one every 50 years. Odds are on your side, so don't pay more than you need to.

It is a good idea to review your auto insurance policy often. Be sure to do your homework and get auto insurance quotes from the major companies. Getting auto insurance quotes, increasing your deductibles, not getting over insured, and taking advantage of discounts will help you lower your auto insurance premiums significantly.