Lowering Your Geico Auto Insurance: Tips And Tricks

There are several ways to lower your Geico auto insurance costs. Firstly, Geico offers a range of discounts, including up to 15% off for insuring a car that is three years old or younger, and up to 25% off for insuring multiple cars with them. You can also reduce your coverage, but this should be done with caution as it could lead to higher costs in the long run. Another option is to opt for a higher deductible, but make sure you can still afford to pay it if you need to file a claim. Improving your driving record and credit score can also help lower your insurance rates. Additionally, Geico offers a telematics program called DriveEasy, which can save you up to 25% on your rate by tracking and rewarding good driving behaviour. Finally, if you're struggling to afford your Geico policy, consider shopping around and comparing quotes from different insurers.

Take advantage of Geico's auto insurance discounts

Geico offers a wide range of discounts that can help lower your overall car insurance costs. Here are some of the ways you can take advantage of these discounts:

• Insure a new vehicle: If you insure a car that is three model years old or newer, you can get a discount of up to 15% on certain coverages.
• Multi-vehicle discount: Insuring more than one car with Geico can save you up to 25% on your premium.
• Airbag discount: If your vehicle has airbags, you can save up to 23% on the medical payments or personal injury portion of your insurance.
• Anti-lock brakes discount: A factory-installed anti-lock braking system can get you a 5% discount on specific coverages.
• Anti-theft system discount: Cars with built-in anti-theft systems can earn you a discount of up to 23% on the comprehensive portion of your premium.
• Daytime running lights discount: Vehicles equipped with daytime running lights as standard equipment can get you a 3% discount on certain coverages.
• Accident-free good driver discount: If you have a clean driving record and have been accident-free for five years, you may be eligible for a discount of up to 22% on most coverages.
• Seat belt use discount: Always wearing your seat belt can get you a discount on the medical payments or personal injury protection portion of your premium.
• Defensive driving discount: Completing a defensive driving course can help you save more on your insurance. Geico offers a maximum discount of 15% for drivers who take an approved course.
• Driver's education discount: If a young driver in your family has completed a driver's education course, you may be eligible for a discount on most coverages.
• Good student discount: Full-time students with good academic records can get a discount of up to 15% on certain coverages.
• Military discount: Geico offers special discounts and premium reductions for active-duty service members, retired military personnel, and members of the National Guard or Reserves.
• Federal employee discount: Active and retired federal employees may qualify for the Eagle Discount, which offers up to a 12% discount on the total auto insurance premium.
• Membership and employee discounts: Geico offers additional discounts if you belong to any of the 500+ groups listed on their website.
• Multi-policy discount: Insuring your car and home, renters, condo, or mobile home with Geico can get you a discount on your car insurance.

Raise your car insurance deductible

Raising your car insurance deductible is a way to lower your Geico insurance premium. The deductible is the amount you pay out of pocket before your insurance coverage kicks in. By increasing your deductible, you can lower your insurance costs, saving you hundreds of dollars a year.

When choosing a deductible amount, consider your financial situation and driving habits. If you can afford a higher out-of-pocket cost in the event of a claim and want to lower your premium, a higher deductible might be suitable. However, ensure that you choose a deductible amount that you can still afford if you suddenly need to file a claim.

It's also important to consider the value of your vehicle. If you have a high deductible on a car with a low value, you could end up paying out a significant portion of the car's worth in the event of a loss.

Additionally, if you have a history of tickets and accidents, a higher deductible might help you manage costs. On the other hand, if you have a car loan, your lender may require a certain deductible amount, so be sure to check before selecting a higher deductible.

By increasing your deductible from $500 to $1000, you may be able to lower your car insurance rate by around 10%. This could result in average savings of approximately $188 per year on comprehensive and collision coverage collectively.

Keep in mind that a higher deductible means you are assuming more financial responsibility in the event of a claim, so choose an amount that you are comfortable with.

Reduce your car insurance coverage

Reducing your car insurance coverage is one way to lower your Geico auto insurance premium. However, it is important to approach this with caution, as reducing your coverage could lead to higher costs in the long run.

Most states require a certain amount of bodily injury liability and property damage liability coverage. However, you may not need to purchase other coverage options, such as comprehensive, collision, personal injury protection, and uninsured motorist coverage, depending on your state.

If you have an older vehicle, it may be worth considering dropping collision and/or comprehensive coverage. If your car is worth less than ten times the premium, purchasing this coverage may not be cost-effective. Review your coverage at renewal to ensure it still meets your insurance needs.

You can also reduce your auto insurance costs by raising the deductibles on physical damage coverages (collision and comprehensive). This will lower your premium, but make sure you can afford the deductible amount if you need to file a claim.

Additionally, you can save money by informing your insurer of any changes that may reduce your insurance exposure, such as when a young driver in your family leaves home or goes to college without taking a car.

Improve your driving record

Improving your driving record is one of the most effective ways to lower your Geico auto insurance premiums. Here are some detailed tips to help you achieve that:

Practice Safe Driving Habits

Safe driving habits are key to maintaining a good driving record. This includes adhering to speed limits, obeying traffic signals and signs, being attentive and avoiding distractions while driving, and maintaining a safe distance from other vehicles. These habits not only reduce the risk of accidents but also demonstrate responsible driving behaviour, which is favourably viewed by insurance companies.

Avoid Moving Violations

Moving violations, such as speeding tickets, running red lights, or driving under the influence (DUI), can have a significant negative impact on your driving record. These violations often result in points on your license, which can lead to higher insurance rates or even license suspension. By following traffic rules and regulations, you can avoid these violations and maintain a clean driving record.

Enrol in a Defensive Driving Course

Geico offers discounts for drivers who take approved defensive driving courses. These courses teach safe driving techniques and can help you become a more cautious driver. Additionally, completing a defensive driving course may help remove a violation or points from your record, depending on your state's regulations. Check with your local DMV or Geico agent to find approved courses in your area.

Take Advantage of Geico's DriveEasy Program

DriveEasy is Geico's telematics program that tracks various aspects of your driving behaviour, including distracted driving, hard braking, cornering, smoothness, road type, distance driven, weather, speed, and the time of day you drive. By enrolling in DriveEasy and demonstrating good driving habits, you can save up to 25% on your insurance rate.

Avoid Accidents and Claims

Accidents and insurance claims can significantly impact your driving record and insurance rates. Be extra cautious while driving, especially in hazardous weather conditions or heavy traffic. Regularly maintain your vehicle to ensure it is in good working condition, reducing the risk of breakdowns or mechanical failures. By avoiding accidents and claims, you can maintain a positive driving record and lower your insurance costs.

Improving your driving record takes time and commitment, but it is a worthwhile endeavour that will not only lower your Geico auto insurance premiums but also make you a safer driver on the road.

Build and improve your credit

Building and improving your credit score is one of the most effective ways to lower your auto insurance costs. A higher credit score can significantly reduce your car insurance rate, and a lower score can increase it. In fact, drivers with poor credit tend to pay much more for car insurance than those with good credit.

• Make timely bill and debt payments: One of the simplest ways to improve your credit score is to ensure that you make all your bill and debt payments on time. Setting up autopay for your bills can help you achieve this.
• Keep credit utilisation low: It is recommended to keep your credit utilisation below 30%, and ideally below 10%. You can achieve this by paying off your credit card balances in full each month or by requesting a credit limit increase from your credit card issuer.
• Dispute errors on your credit report: Review your credit report for any errors or discrepancies and dispute them with the relevant credit reporting agencies. You are entitled to one free credit report each year from the three major credit bureaus: Experian, Equifax, and TransUnion.
• Add regular, on-time payments: Contact credit agencies to add your regular, on-time rent and utility payments to your credit report. Experian Boost™ is a service that can help you get credit for making monthly utility payments by scanning your bank account for recurring, on-time payments.
• Limit new credit applications: Every time you apply for new credit, a hard inquiry is made on your credit report, which temporarily lowers your score. Therefore, it is advisable to refrain from opening new accounts or applying for additional credit to give your score a chance to recover.

By implementing these strategies and working to improve your credit score, you can positively impact your auto insurance costs and potentially save hundreds of dollars each year.

Frequently asked questions