As gas prices rise over the summer and Labor Day holiday, many families looking to take a vacation or road trip may be feeling an added strain on their budgets with the economy still struggling. However, drivers may be able to save money by switching which company they get their car insurance quotes from.
According to a U.S. Department of Energy report from late August, the national average retail price for a gallon of unleaded gasoline was $3.63, a price which was down from a cyclical high of nearly $4 nationwide earlier this year. Many areas saw prices much higher than that. Compared to a year earlier, the national average is up nearly a full dollar per gallon.
Higher gas prices have significant cost
With many people looking to travel over Labor Day, higher prices at the pump can have a significant impact on a family budget. AAA estimates that more than 31 million Americans will be traveling more than 50 miles from home for the weekend.
For example, with a car that gets 20 miles per gallon, a 50-mile drive will use about 2.5 gallons of gas, with five gallons used for a round trip, even if no other driving is involved at the destination. Saving money on gas and auto insurance quotes is important to many in 2011.
Last year, with prices at $2.68 per gallon, gas for the trip cost about $13. Now, it costs more than $18. While that $5 difference may not seem like much, the average driver puts about 12,000 miles on their car every year. That translates to more than $450 dollars over a calendar year.
Comparing car insurance quotes can save drivers
In the wake of the recession, coming up with an extra $450 dollars for gas may be very difficult for some drivers to afford. However, families may be able to save on insurance coverage if they review the rates and policies offered by other auto insurance companies.
Consumers can research free auto insurance quotes online and compare the rates they see with their current policy. They might see that they qualify for a cheaper plan with another company. Different companies evaluate drivers on a number of methods and weight each of them differently, so the same driver may see dramatic variances in overall cost.
Drivers also don’t need to wait for their current policy to expire. They can sign up with a new firm immediately, cancel their other plan and get a refund of any extra payments from their previous auto insurance company.