11 simple ways to lower your car insurance premiums 

Car insurance is about more than coverage; it’s about confidence, knowing you’re financially prepared for the unexpected when you get behind the wheel. At American Family Insurance, our goal is to protect your dreams and peace of mind—along with your wallet. That’s why we’re sharing these easy ways to save on your car insurance premium, without sacrificing the protection you need. 

Let’s explore how you may be able to keep more money in your pocket while staying confidently covered on the road. 

What impacts your car insurance rates?

Understanding what goes into your car insurance premium is the first step to saving. Insurers look at a variety of factors, including: 

• Age: Younger drivers are considered higher risk, but experience can pay off.
• Driving history: Safe drivers with clean records often qualify for lower rates and special discounts. On the other hand, if you have speeding tickets or other types of violations, you could see a hike in your premium. 
• Coverage level: More coverage means greater protection—and possibly a higher premium. Your American Family Insurance agent can help you find the right balance for you. 
• Other factors: Years of driving experience, where you live, your insurance history, and the type of vehicle you drive all affect your rate.

Remember, knowledge is power. The more you know, the more you could save. 

11 easy tips to lower your car insurance premium 

Ready to take action? Here are some simple strategies to help you save:  

Ask about discounts

Discounts are one of the easiest ways to lower your insurance rate—and you may already qualify for some of them! At American Family, we offer a variety of car insurance discounts, from multi-product savings to smart driving rewards and billing discounts. Here are a few examples: 

• Multi-vehicle: Insure more than one vehicle with us and save. 
• Violation Free: No tickets for the last five years? You could get an additional discount on your car insurance.
• Accident Free: You may qualify for savings if you’ve been accident free for up to five years. 
• Early Bird: If you have an active policy with another carrier and receive a quote from us at least seven days before that policy goes into effect, you could receive a discount. 
• Loyalty discount: The longer you’ve been part of our family, the more you could save. 

Bundle your policies

Bundling is when you buy multiple insurance products from the same provider. At American Family, you could bundle your auto insurance with home, renters, or even life insurance. Bundling makes things simpler since you can make one convenient payment and you may enjoy added discounts when you have multiple policies with us. 

Take a look at our insurance bundle FAQs and chat with an agent to learn more about bundling and how much you could save. 

Save with safety features

If your car has safety features like airbags or dashboard cameras, you could qualify for a discount. Check with your agent to see if your vehicle’s features make you eligible. 

Take advantage of AutoPay

AutoPay is an effortless way to save on your car insurance premium and avoid late fees at the same time. With AutoPay, your payments are automatically deducted from your bank account.  

With American Family, simply enroll in My Account to set up AutoPay and schedule your payments. My Account also gives you convenient, easy access to your policies, bills, proof of insurance, and claims — anytime, anywhere. 

Go paperless

Want to help save a few trees along with some money? Opt for paperless billing. Ask your agent if you qualify and set up paperless billing within 10 days of starting your policy. It’s simple and only takes a few minutes. Here’s how paperless billing works. 

Pay in full

Paying your policy in full at time of purchase can earn you a full-pay discount and lower your premium. 

Know what you need

Review your coverage regularly and be aware of your insurance needs. For example, depending on its value, it may not make sense to consider collision coverage on an older car. Your agent can help you determine the best options for your needs.  

Raise your deductible

Your deductible is the amount you agree to pay out of pocket toward an approved claim. When you select your car insurance deductible, choosing a low deductible means you’ll pay less toward a covered loss, but your premium will be higher. To lower your premium, consider choosing a higher deductible — just make sure you’re comfortable with your out-of-pocket cost if you need to file a claim. 

Compare insurance costs before you buy a car

The value, repair costs, theft likelihood, and safety record of your car all affect your premium. Research insurance costs before making your purchase. 

Shop around and ask questions

Get quotes from different companies and ask about discounts. Being informed is the best way to save.

Connect with your agent

Your American Family agent is your partner in protecting your dreams. They’ll work with you to ensure you get quality protection, discounts, and peace of mind. 

Take control of your insurance savings 

At American Family Insurance, we want to help you understand your coverage and find ways to save. Connect with your agent today and discover your options to lower your car insurance rate while protecting what matters most.

This article is for informational purposes only and based on information that is widely available. This information does not, and is not intended to, constitute legal or financial advice. You should contact a professional for advice specific to your situation. 

This information represents only a brief description of coverages, is not part of your policy, and is not a promise or guarantee of coverage. If there is any conflict between this information and your policy, the provisions of the policy will prevail. Insurance policy terms and conditions may apply. Exclusions may apply to policies, endorsements, or riders. Coverage may vary by state and may be subject to change. Some products are not available in every state. Please read your policy and contact your agent for assistance. 

Discount, savings and product eligibility varies based on the way you purchase insurance, by state, property type and policy form. Discounts may not apply to all coverages on an auto or home policy. Discounts do not apply to life policies. Exclusions may apply.