Car insurance can be negotiated so that you end up saving hundreds of dollars every year. To do that, though, you would need the right information and know what to do to save on your car insurance. In this article, we will be showing you some proven ways to cut down on your insurance expenses.
Do a Price a Comparison
When most people go shopping for car insurance, they really don’t try out more than two insurance providers. This is not good as you’ll only have two options to work with and compare rates.
Now, if their rates are similar, you may be tempted to assume that it’s the same rates all over. That isn’t necessarily true. So, do the smart thing and shop around from at least five providers. Better still, look for insurance packages from the different types of insurance providers.
For instance, you could get rates from insurance companies directly, insurance agents, such as the agents at Insurance Land, for companies and independent insurance providers who often have offers from multiple insurance providers. Usually, shopping around like this will expose you to the many insurance rates.
Think About Your Car
Car insurance costs are often as a result of weighing and combining many factors like cost of repair, security and anti-theft features, the cost of parts and safety features. If savings are important to you and you’re looking to acquire a new car, you should check for insurance rates as the type of car you drive will contribute to how much you’ll eventually pay. Cars with good safety and anti-theft features are likely to attract higher discounts compared to those without.
Think of Paying Higher Deductibles
Your deductibles often play a key role in the final costs of your insurance packages. In case you don’t know what deductibles are, they are out of pocket costs or the percentage of the damages that you might be willing to pay if anything happens to your vehicle.
So, if you opt for higher percentages, your insurance policy provider is more likely to offer a lower rate for your car insurance. Higher car insurance rates often mean that the policyholder opted for lower deductibles among other things.
Infographic Source: http://www.debtroundup.com/simple-tips-save-money-car-insurance-infographic/
How Much Coverage Do you Have on Your Old Vehicle?
How old is your old vehicle? How much is its current value in the market? How much are you paying in premiums right now? If you were to multiply that by ten, would the older vehicle’s value be less than that? If yes, it’s time to consider removing some of the plans you have on the vehicle’s insurance as they probably aren’t worth the expense.
Always Have a Decent Credit
You know how they say your credit score is sort of like a “big, benevolent uncle” who rewards your financial prudence? Well, it is true. This is because a good credit score simply says that you are not a high-risk individual and should, therefore, be trusted with decent insurance coverage. People with good credit scores are, therefore, more likely to get lower premiums compared to those with average or poor credit score.
Have a Good Driving Record
If you were a bad driver before now and have a history of poor driving records by the state, it might be too late for you if you’re applying for insurance. But, if you are thinking of getting a new car or insurance coverage over the next one year, now would be the best time to start cultivating some good driving habits. Do everything to avoid negative points on your license, and you just might get lower prices from your insurance provider.
Oscar King, is a car owner and freelance writer who enjoys sharing tips and insights into car care with his readers. If you would like to learn more about Oscar, you can check out his google+ profile.