While we’re all sheltering in place right now, you may be staring at the car sitting idly in your garage wondering if you really have to carry insurance on it. The answer is yes—but there is some good news.
Why You Need Auto Insurance
First, you need to keep your car insured because all vehicles registered in the state of Connecticut are required to carry auto insurance by law. Even if you’re not driving your car at all (not even for that five-minute drive to Greiser’s to pick up your pre-ordered groceries), you’re still required to have insurance on it, unless you turn in your plates to DMV. To be honest, I’m not even sure if that’s a possibility at the moment, but even if it were, imagine the hassle of going back and reregistering your car and renewing your insurance when all this is over.
Auto Insurance Companies Are Voluntarily Reducing Rates
Now for the good news: Many insurance companies are voluntarily offering customers rebates or discounts on their insurance rates, in recognition of the millions of Americans who are dutifully sheltering in place and no longer commuting to an office, driving their kids to school, etc. One example: Farmers Insurance is giving a 25 percent rebate on auto insurance for the month of April.
There are other things you can do to get lower rates during the Coronavirus pandemic:
- Lower your mileage. If you will be driving your vehicle less than 5,000 miles annually, it’s possible you could save up to 25%.
- Raise your deductible. The average deductible is $500. Changing it to $750 or $1,000, or even $2,000, could result in lower car insurance premiums; though of course, if you do get in an accident, you’ll be paying more out of pocket.
- Remove your car’s “business” status. If your car is categorized for business usage, change it to “pleasure” for the time being and you could save $150 a year. If it’s categorized for “commuter” and you change it to “pleasure,” you should still see some savings, but it typically won’t be more that $20/year.
While “suspending” or “freezing” coverage isn’t usually an option, many insurance companies are offering grace periods for late payments and may be temporarily suspending policy cancellations. Get in touch with your insurance agent if you are having trouble paying because of a job loss or other economic difficulties related to COVID-19.
How to Keep Your Auto Insurance Rates Low Year-Round
The #1 way to get lower rates is to shop around for auto insurance every year. According to research, Connecticut residents could be paying an extra $1,086 to $1,846 annually if they never compare auto insurance policies or consider switching companies. Now is a great time to shop your auto insurance around to see how your current insurer compares in the marketplace.
Leopold Linval bio
As a resident of Easton, Connecticut, I am proud to serve Fairfield County and surrounding areas as your local Farmers® agent. At The Leopold Linval Agency with Farmers Insurance, we pride ourselves on providing outstanding customer service and ensuring each client is educated on their specific coverage options.
Please visit my website at https://agents.farmers.com/ct/norwalk/leopold-linval. I look forward to starting a friendly conversation with you today.
Give me a call at (203) 244-2533 or email me at email@example.com and I’ll be happy to answer any questions you might have.
Other languages spoken: Spanish