Are you able to save up to 50 thousand dollars by comparing your car insurance policies?
This is not a competition, prize or gimmick. However, I will show you a real-life example of a family that made smarter decisions about their car and auto insurance provider coverage.
It is well-known that there are many family sedans with premiums below $1,300 a yearly.
Okay, but how did they do that?
Juanita and Derek Johnston from Miami, Florida, were looking for savings. They set out to find a way to save money. In fact, they saved over 50,000. It’s not about making more money. People who make more money tend to spend more than those who are less well off. They don’t value money the same as people with lower incomes.
Saving is easier when you have the right attitude.
Juanita Johnston (33-year-old computer programmer) and Derek (35-year-old civil engineering), enjoy a nice set on wheels and have enough money to purchase a new car every few year, as many American families do. The couple had their second child in 2009 and the cost of childcare increased by twofold.
They decided that their approach to money needed to change. To save 50,000, the Johnston’s contacted an insurance comparison website to find out if they could get a better deal.
They realized that they were paying too high for car insurance and could spend a lot more.
They discovered that they could save money elsewhere, without having to give up, and they were on their way to a better way of living.
The family had just paid off their full 2005 Volvo S60 loan. They decided to keep the vehicle they owned rather than borrow new money and get new wheels. The $700 per month they saved by not spending on their usual habits was equivalent to the car payments they would have been making to their car loan company if their family had purchased a new model.
They were in a car crash in December last year, and their car was destroyed in the accident. The family set their sights high and bought the 2005 Volvo S60 model for $14,500. This was the first car that the Johnstons had ever purchased.
The Johnston’s were motivated by the savings they had made on their car. They also realized how much more savings could be made on standard household expenses. They refinanced the mortgage ($300 per month), cancelled professional garden care services, and switched to Netflix. Cable TV is too full of advertisements these days, and you don’t see enough of the shows that interest you. The small family has been able to save a lot of money thanks to the cash injection. Derek might even purchase a new motorcycle with the money they have left.
The simple act of comparing car insurers set them on the path to savings. Their family has an annual savings of $12,500. They will save $50000 by multiplying this number by 4 over four years. It’s not hard to believe, right? The family was able to save a lot of money without having to earn any additional income. This was possible by using a comparison site and following such good habits.