We’ve also seen posters, newsletters, advertisements, and billboards touting how much money we can save on car insurance by going to a different provider. It’s a cutthroat company. Just because another firm offers a lower rate doesn’t mean you can cancel your current policy and move. Before you go any farther, there are several things to think about.

By moving the car insurance to that other provider, several steps can be taken.

If you’ve been with one company for a long time and they have a refund that covers your first accident, you may want to stick with them or see if any company will match it. This is also known as a safe driver discount, a longevity discount, or crash forgiveness. Because of your dedication, the firm waives the first accident you have.

This discount can be very substantial. Since most incidents will lift the premium by 40% over three years, the future savings maybe hundreds of dollars over that period. When you swap businesses, though, you lose the credit you’ve earned. How much would you regret not getting the accident coverage if you have an injury with that new business and the premiums are raised by 40%?

Another thing to keep in mind is that the company you’re transitioning to isn’t just giving you a teaser rate for the first six months to win your job, then bumping you up six months later until you’re on their books. Since car insurance is a lucrative business, providers can give you a low-ball rate to entice you to move, just to raise the premiums when your policy is up for renewal. If the new company’s rate seems to be too good to be real, do more testing. Look for “XYZ insurance + Reviews” on insurance sites or Google.

Keep a watch out for other charges that are not intended. This one has the potential to impress you. Some businesses charge you a subscription fee of $3-$5 per month if you pay monthly. This amounts to $36-$60 over a year. That one charge will eat up a lot of your future savings, so make sure you account for it while calculating rates. When you turn, make sure you’re spending money.

The new company’s website and hours of service are two other items to bear in mind when looking for car insurance. It sure their hours are compatible with yours. When they’re just available from 8 a.m. to 5 p.m., and you work from 8 a.m. to 5 p.m., when will you be able to contact them whether you have a question or need to file a claim? If you do all of your business online, you’ll want to make sure the firm you’re considering has a capable website that will assist you at all hours of the day and night.

By looking around for car insurance, you can save money. Only bear in mind the points I’ve made to ensure that the offer you’re considering is a good one.