How rates are set — and how to shop until they drop.
The annual auto insurance bill arrives, and you do what most drivers do: You cringe. You grumble. You send a check.
But that’s the wrong approach, according to Robert Hunter, president of the Insurance Consumers’ Organization. Instead, you should review your company and your coverage, then make changes to lower your bill.
“If you buy smart, you can buy a lot of coverage for a few dollars,” says Hunter. Indeed, many drivers can save more than $1,000 a year by switching insurance carriers. Simply dropping or changing some coverages can save you hundreds. But before you reap the savings, it pays to understand how auto insurance works.
