How to Save on Car Costs

Are You Buying Too Much Insurance?

"Consult with your insurance agent every year or so to make sure you have enough insurance but aren't paying for coverage you don't need," says Nancy Cain, spokesperson for the American Automobile Association. After all, required minimum amounts vary from state to state. And shop around. Insurance experts say that consumers stick with a company for years simply because they don't take the time to compare what other companies offer. Some things to consider:

• If you want to lower your monthly payments, increase your deductible. This is the amount you're liable for if you're in an accident -- and the higher the amount, the less you pay each month.
• Some companies offer discounts for people in "low risk" jobs, such as teaching or engineering. Others offer decreased rates if you combine your homeowner's (or renter's) insurance with the policy for your car.