How to save money on car insurance
Keeping up with car insurance can be expensive and if you drive, you can’t go without insurance unless you want to be fined or probably get your driver’s license withdrawn. One to an extent cannot evade the possibility of being in an accident so when such situations occur, having insurance come in handy be it your life, health, or car. Getting insured shouldn’t be a thing of the past in your life because it enables you to handle the unexpected and you can agree with me that the cost of protecting our loved ones and property can be quite expensive.
A good number of Americans drive these days and about 95 percent own cars. About 85 percent use those cars to travel around either to work or visit friends.
Regardless, getting insured is one thing and getting good insurance that doesn’t tear down your bank account or rip off your pockets is another.
- Advertisement -
Do you want to get that your sweet new car insured without breaking the bank? Well, look no further, as I introduce to you simple ways to save money on car insurance and reduce hideous bills.
- Window shopping (comparison)on rates
It is important for you to check out and compare rates as car insurance rates vary from insurer to insurer and this could be by a hundred or even more dollars a month. You might be surprised by the difference in auto rates and possibly pick that which suits you better.
Getting in touch with insurance carriers directly or asking your family and friends about their insurance providers or getting insurance quotes online are just some steps you can take in ensuring you choose the right car insurance company.
You can get quotes from several insurance companies which hands you the best deals and also at a cheaper rate to enable you to save more.
Bear in mind that going for something cheaper doesn’t mean that it is entirely good. You have to take into consideration the insurer’s creditworthiness. Will you get paid your insurance claim?
Check out a particular insurer by checking up sites that have rates on the financial strength of the insurance companies.
- Seizing discount opportunities
A lot of companies offer a myriad of discounts. These discounts could be based on your purchase of a new vehicle, vehicle safety equipment, lifestyle and safe driving, customer loyalty and some even offer a good student discount. Some people even get massive discounts for belonging to a particular association.
When obtaining a discount, be careful because things may not be as it seems. An insurance company which you think offer huge discounts could have a relatively high charge rate. Try as much as possible to compare quotes based on your very own situation and contact your insurance agent to ensure you are getting all of the discounts you are being entitled to, ask your agent to review your possible savings as well.
- Cheaper car, Cheaper rates
Do you know that the type of car you drive can affect your insurance premium?
Most people overlook the fact that insurance is part and parcel of owning a vehicle and would rather ignore getting their cars insured. Well, considering the cost of insurance, it varies widely depending on your car’s specifications or price.
A study has shown that when insuring a more expensive car like a convertible, the annual rates are on the high side compared to small SUVs.
So before you buy your next baby, consider comparing the car insurance rates.
- Keeping track of your level of driving
You can save money depending on how much you drive and how well you drive plus, there are higher chances of being in an accident or emergency the more you drive.
Some auto insurers offer a usage-based or pay-per-mile driving program which reduces both the miles you drive and the premiums you pay. These programs enable the insurer to track your driving concerning speeding or safe driving and thereby offer discounts on them. Confirm from your carrier if you are eligible.
- Safe Driving
In all things, being a safe driver is key in cutting down on expenses and can offer you 10% to 25% discounts depending on your driving record. Trying as much as possible to avoid accidents and traffic tickets goes a long way in reducing the premium you pay at a very cool rate. If you get a ticket, you could be allowed to dismiss the ticket at the traffic school thereby reducing the number of violations in your record. Avoiding violations keeps your driving record clean, saves you hundreds of dollars in coverage cost as well as time spent in class.
- Taking a defensive driving course
Completing a course on defensive driving avail you more discounts from insurance companies. You can also have some points dropped from your license when you undergo courses on accident prevention as well.
It is important to ask your insurance company on this available discount before you register for any course and also find out those accredited for you.
- Safeguarding your credit
For insurance companies to calculate how much of rates to charge you are highly based on your credit. A good percentage of insurance companies consider your credit when calculating rates.
Guarding and maintaining the stability of your credit might even count more than your driving record. If you get a new credit card when necessary, make your credit card payments on time, ensure your credit card balance doesn’t exceed your credit limit, you safeguard your credit for the very best car insurance rates. Be in the know that your credit rating can be an essential factor in figuring insurance premiums so try your best to keep it on the high side.
- Getting off insurance you don’t need
Have you got a pretty damaged vehicle or it’s very old and it’s book value has dwindled but costs more than the deductible amount that covers your car? Then it’s high time you drop that coverage. Remember, collision and comprehensive insurance will never pay more than the worth of the car. So first off, access if it’s reasonable to keep paying for such insurance since you might get only a peanut in recovering the car at the end of the day.
Letting go of what you don’t need, saves you more.
- Combining insurance policies
When you combine insurance policies with one carrier, you will be able to save money. Most insurance companies offer several discounts when you use the same carrier for all your coverage needs because they want your business. You will save good hundreds if you insure all of the vehicles in your household on one insurance policy. It’s important to evaluate that which will be more appropriate and less expensive for you.
- Presence of safety equipment
You are at a higher advantage and can qualify for an insurance discount from carriers if your car is equipped with good safety equipment that is made to reduce the occurrence of injury or theft. This equipment ranges from automatic seat-belts, alarm systems, theft protection, or anti-lock brakes.
The list goes on and on but this list sure gives you a good heads-up on how to save money on car insurance. Bear in mind that saving on car insurance is not only about finding the highest discounts but finding the best price in everything. You would be surprised to find out that an insurance company offering the smallest amount of discounts still offers the lowest rates on car insurance.