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by Indiana Farm Bureau Insurance

What are 10 easy ways to get cheaper car insurance?

Mom getting her two children in the backseat of a car

You just landed your first job and moved into your own apartment downtown. Your parents are finally treating you like an adult, which also means the time has come to get your own auto insurance policy. What does that mean for you? It means that it’s time to learn what company and coverages will best fit your needs.  


You’ve likely heard endless spiels from parents, family members, guardians, professors and friends about the importance of insurance, but you may have been a bit naïve about how much it would cost you to purchase your own policies. Luckily, with insurance companies like Indiana Farm Bureau Insurance we offer insurance products and services during any phase of your life, and we hope we can make the process of purchasing your own policies as easy as possible. We’re there every step of the way and can assist with any questions that you may have.  


As you’re searching for insurance, two questions may come to mind: can I find affordable auto insurance, and how will I know if I have the coverage I need?  These are certainly important questions to consider.  Here are 10 tips on how to  obtain cost effective auto insurance.   


1. Driving record history 


Being a safe driver can impact your auto insurance rates. Depending on your driving history, your rates could fluctuate based on the number of tickets and accidents you have been in.  


Having a history of poor driving habits can also impact your auto insurance rate—and even your ability to secure coverage. When insurance underwriters evaluate auto insurance applications, they review your driving record, among other factors, to decide if you are a high or low risk. These decisions are based in part on your previous driving history and help underwriters determine an appropriate insurance premium, which is the amount you pay for an insurance policy.  


It is important to practice safe driving habits while on the road to help ensure you keep yourself and your passengers safe, as well as keep your driving and claim record clean.    


2. Bundle and save with the Multi-Line Discount!  


A great way to lower the cost of your auto insurance premium is by taking advantage of available discounts. For example, if you have multiple Indiana Farm Bureau Insurance policies bundled together, such as auto and home or auto and renters you can save up to 23% with the Multi-Line Discount.  


Not only will bundling your policies help you save money on your insurance, but it can also save you time and effort by having one company cover all your insurance service and coverage needs.   

3. Compare and contrast coverage options  


When deciding to choose the type and amount of car insurance coverage for your policy, you should compare your coverage options. Affordable auto insurance can look different for everyone. Coverage options can vary based on many things, including how much protection you need for your vehicle, yourself, your passengers and others on the road.  


Coverage options vary in price based on deductibles, amount of coverage and more. It is important to talk with your agent to go over the options you have in order to get affordable and complete auto insurance coverage. The legal state minimum requirements may not be enough coverage for you, so be sure to do your research and ask questions. 


4. Higher deductibles can mean lower premiums 


When you talk to your agent about your auto insurance coverage options, they will ask you what deductible amount is best for your needs. By electing a higher deductible, it may lower your premium.  


Although a higher deductible may decrease the premium for your auto insurance, it increases the “out of pocket” cost you pay following a covered auto insurance claim. It is good to evaluate your options and discuss with a local agent before purchasing an auto insurance policy.  


5. Reevaluate your policies  


No matter if you are switching from your parents’ policy and getting your own or if you already have a policy and are looking to purchase insurance from us, it is time to sit down with an agent and talk about your policies and the coverages they include.  


Life changes. By reviewing your current insurance needs with an agent, you can be sure that the coverage you are paying for provides the protection you want. 


6. The vehicle you insure can impact your insurance rate  


A 2003 Toyota Camry, 2012 Honda Odyssey and a 2023 Ford Mustang may all have different insurance rates.  Insurance rates are impacted by many factors and include things like the age of the vehicle, make, model and other characteristics. For example, a four-door sedan may not be as expensive to insure as a brand-new sports car because it will cost less to replace or repair the car. So, are older vehicles cheaper to insure? The answer is usually yes, it is often cheaper to insure an older vehicle.  


So, what does that mean for someone interested in purchasing affordable auto insurance? If you want affordable auto insurance, consider the type of vehicle you purchase, compare insurance quotes and weigh your various coverage options. Sometimes the cheaper insurance provider may not offer the best customer service or most comprehensive coverage.  


7.  State-required minimums  


According to the Indiana Department of Insurance, the minimum required liability limits are:  

  • Bodily Injury liability: minimum of $25,000 per person and $50,000 per accident 

  • Property Damage liability: minimum of $25,000 per accident 


Although purchasing the state-required minimum auto insurance policy may be the cheapest option for you, it may not be the best option. Make sure you talk with your agent about what they recommend in terms of liability limits and coverage options. If you get into an accident and only have the state-required minimums, it could result in negative outcomes.  


8. Work on that credit 


Did you know that your credit history can also affect your insurance rate? Credit information enables insurers to better identify low risk consumers by increasing the accuracy of underwriting and rating insurance policies. In Indiana, insurers may use a credit-based insurance score to help determine accurate underwriting and pricing, which can result in many consumers paying less. 


Insurance industry experience has shown that fiscally responsible consumers with good credit histories have fewer losses than those with poor financial track record. Credit information can provide an indication as to how a person manages various financial risks.   


Your insurance score is a snapshot of your risk at a particular point in time. You can improve your score and credit by paying bills on time, keeping low balances on credit cards, and applying for and opening new credit accounts only as needed. Scores often change gradually as you change the way you handle credit. 


9. Don’t ignore local insurers! That’s us.  


Local insurers like Indiana Farm Bureau Insurance often are your neighbors, living and working in your communities. With offices in all 92 Indiana counties, you do not have to go far to find the personalized service you deserve. You are more than a policy, you are family, and we value protecting you and your family promptly and personally.  


10. Check available discounts 


Here are some of the auto insurance discounts Indiana Farm Bureau Insurance offers. Keep in mind that if you have other insurance policies with us, you may be able to save even more.  


Additional Questions: 


Below are additional answers to some commonly asked questions about auto insurance. 


Is auto insurance cheaper when you pay off your vehicle? 


No, your auto insurance does not usually decrease because you paid off the loan . However, when you pay off your vehicle, you officially own it which may give you more control over the amount and type of coverage you need for that vehicle. 


Should I drop collision and comprehensive coverage to get cheaper auto insurance? 


When deciding to make changes to your auto insurance coverages, take time to discuss the risks involved with a professional insurance agent and consider all of your available coverage options.

How do I get more affordable auto insurance for a teenager? 


Young drivers are more expensive to insure, because they are four times more likely to be involved in a crash than drivers 20 years of age and older. As a young driver gains more safe driving experience and driving history, their insurance may become less expensive as they age.  


There are discounts that our company offers that are available for young drivers which include, Driver Education Discount, DriveTrend® Discount and Youthful Driver Discount.  


For more information on ways to lower your teenager’s auto insurance premium,  check out this blog post! 



At what age does auto insurance get cheaper? 


This answer can fluctuate based on several factors. If there is a driver who is getting older but continues to show bad driving habits and is a higher risk, the cost of their insurance may not decrease compared to someone who is aging and has a clean driving record when it comes to tickets, accidents and claims.  


Typically, young drivers are defined as individuals between the ages of 16-25. As you get older, you may see a decrease in price based on your increasing age and driving experience. The best way to know for sure when your policy may decrease based on your age is by talking to your insurance agent. 


If you have more questions, contact a local insurance agent today!  



If you have all the information you need and are ready to take the next steps to obtain an auto insurance policy with us, it’s time to get the process started today with a free online quote.