My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.

Growth Strategies

Take Cover

No need to panic--we've got tips to help you cut your car insurance costs.
Magazine Contributor
2 min read

This story appears in the March 2005 issue of Entrepreneur. Subscribe »

Is your company's vehicle insurance too high? The Insurance Information Institute reports rates are declining in some states, but medical costs are rising. Meanwhile, a recent National Highway Transportation Safety Administration survey reveals many drivers aren't aware that their coverage is insufficient until after an accident. Here's how you can reduce insurance costs:

  • Check your state's department of insurance for minimum insurance requirements. Check out for basic rate comparison surveys.
  • With your employees' written permission, ask your local Department of Motor Vehicles for driving records if you insure drivers. Poor driving records mean higher insurance costs.
  • Stress that if employees break the law--by speeding, for example-their actions can raise rates or cause lawsuits, putting your business in jeopardy.
  • Comparison shop on websites such as and Use their on-screen calculators for free quotes. Be aware, however, that most sites work with specific insurance companies. If you use an insurance broker, ask if he's an agent for an insurance company. Not all brokers will direct you to the best deals unless they represent them.
  • Check for discounts on safety equipment such as extra airbags, backup warning systems and theft alarms.
  • If your salespeople use their own cars on business and you reimburse them for mileage, encourage them to add rental insurance to their personal policies--and reimburse them for the average annual premium of $25 as well. This preventive measure is less expensive than paying $300 to $500 a week for a replacement rental.
  • Pick the highest deductibles you can afford to keep the rates low. Buy as much liability as possible to protect your assets if you are sued. On older cars, consider lowering or dropping collision coverage.

Editor and consultant Jill Amadio has been reporting on the automotive industry for 26 years.

More from Entrepreneur

Kathleen, Founder and CEO of Grayce & Co, a media and marketing consultancy, can help you develop a brand strategy, build marketing campaigns and learn how to balance work and life.
In as little as seven months, the Entrepreneur Authors program will turn your ideas and expertise into a professionally presented book.
Are you paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.

Latest on Entrepreneur