How to shop for affordable car insurance

Your options depend on what you need and can afford. A policy with only auto liability coverage will usually have a cheaper rate, but it might not meet your needs. If you lease or finance your car, your lender likely requires comprehensive coverage and collision coverage.

Even if your car is paid off, or if it's still relatively new, consider comprehensive and collision coverage to cover damage from unexpected, uncontrollable events and if you get into a collision with another car or an object. If you don't have this coverage, you may end up paying an expensive repair bill yourself. Learn more about common auto insurance coverages and "full coverage" car insurance.

You can also use our Name Your Price® tool to set your price range and see which coverages will fit your budget.

Your car insurance limit is the maximum amount your insurance will pay out for a claim. There are different limits for different coverages. For liability, selecting your state's minimum required car insurance coverage will reduce your rate, but it might not be enough to satisfy what you may owe to an injured party, depending on the severity of the accident. You also need to determine the right limit to set for other coverages such as uninsured/underinsured motorist coverage. Use our car insurance calculator to get an idea of how high you should set your limits.

Your car insurance deductible is the amount you need to pay toward a claim before your coverage kicks in. You typically only have a deductible for comprehensive, collision, and gap insurance coverages. The higher your deductible is, the lower your rate is. However, make sure your deductible isn't so high that you'd struggle to pay for repairs before your insurance applies.

The car insurance premium is your bottom line — exactly how much your insurance will cost per payment cycle (options for payment frequency will vary).

If you know the coverages, limits, and deductible amount you want, make sure each quote you compare has the same criteria so you're comparing apples to apples. If you're not sure what you need, use the quoting process to see how your premium might change when you add coverages.

Consider using Progressive's AutoQuote Explorer,® which compares car insurance rates from different companies so you can find the cheapest car insurance with the coverage you need.^**

Whether you're a first-time shopper for auto insurance or you're more seasoned and looking to switch insurers, find out what discounts may be available such as:

• Multi-policy: This discount can help you save if you plan to buy two or more policies from the same insurer.
• Multi-car: Adding two or more vehicles to your policy could also save you more.
• Continuous insurance: Many insurers offer a discount if you've previously had insurance through another company.
• Usage-based insurance: Some insurers offer a discount based on how safely you drive while participating in their usage-based program, such as Progressive's Snapshot® program.

As you shop for auto insurance, keep in mind that the more inexpensive or even cheapest car insurance isn't always the best choice. Rather, the best policy is the one that meets your coverage needs for the best rate.

When is the best time to shop for car insurance?

Quoting car insurance at least once a year can be beneficial, as rates may change frequently. If you're paying too much, don't wait to switch. Your current company will refund you the unused portion of your policy when you cancel. Just make sure you're covered with your new company before cancelling.

Adding a teenager to your car insurance is also a good time to shop for auto insurance, as there are insurers that offer discounts for teen drivers. Progressive gives discounts for drivers listed on your policy who are 18 years old or younger,^* as well as students with a B average or better.^†

Here's a quick rundown of what you need to shop for car insurance, as well as how to compare quotes and more.