Many people regularly complain about their high premiums. In the same time, millions of motorists enjoy low vehicle insurance rates. Then, you would wonder how come some people can get it cheap while others fail to find affordable policies. Is it possible that they are missing out on some secret formula? Or simply they are failing to see a few essential things they need to do to get good prices?
Apart from few very high risk drivers who has had several accidents or get caught driving drunk the second statement is probably true. Here are a few points to consider if you want to reduce your automobile insurance costs.
1 – Build Up Good Driving History
If you want low premiums you have to prove that you deserve them. Vehicle insurers are not going to take your word for it. They will need to see some proof and the only way you can show them is by building up good driving history. You need to avoid traffic tickets and drive carefully to avoid accidents. Even a year worth of clean driving health will start bringing your premiums down.
2 – Consider Telematics
For young drivers and the ones who currently have bad driving records telematics may be a good option. You allow the insurer install a small device within your car that transmits information about your driving habits. Many people report that their driving improves when they know someone is watching. Some companies offer immediate discounts for installing the device. And you get good discounts once they collect enough information and determine that your driving is considered to be low risk.
3 – Buy the Right Car
If you have a terrible driving record you don’t want to increase the risks by owning a risky to insure automobile. Look for cars with high safety and security features and smaller engine. You should avoid sports cars if you want to get out of high premiums. They will cost more to insure regardless of how good a driver you are.
4 – Shop Around
Shopping around is a great way of finding the best deals. If you take the only quote you got you will never know how low the prices can go for the same coverage. There are a few websites that provide quick online quotes. Also, you can get quotes online directly from each insurer. If you don’t want to do the work yourself you can employ a broker to do it for you. They will check the market on your behalf and inform you of the best deals.
5 – Improve Your Driving
There are several advance driving courses that qualify you for discounts on completion. They can be fun and improve your awareness on the road. That is why companies are willing to offer savings to motorists who complete them. Even young drivers can benefit from these savings. You should check first if enough companies will consider the qualification for discounts.
6 – Monitor Your Mileage
If you don’t monitor your mileage and let the insurance company know you are a low mileage driver they will not automatically offer you savings. Some companies offer special discounts when you enter into mileage monitoring programs. You will need to regularly check your mileage and inform the company to get discounts or prove it when you are asked.
7 – Bundle Your Policies
When you buy your car insurance from the same company you buy your home insurance you can get extra savings. The other way around is also true that you can either bundle your policies with your home or auto insurer. Insuring all your cars under one policy is another way of saving money.
8 – Choose Higher Deductibles
Where possible and beneficial you can increase your deductibles and decrease your premium. When you increase them you accept to pay a little bit more out of the pocket when you have a claim. So, you need to be careful with this option. If you are likely to make several claims in one year this may not be a good option for you.
9 – Do well at School
Good students get discounts from many insurers. When you are good at your studies you have a better chance of gaining a good profession as well that affects your rates in the future. Some professions qualify additional discounts and some companies offer savings to graduates of certain universities. If you are looking for affordable teen auto insurance you can read more on that page.
10 – Avoid Instalments
Nearly all insurers will be kind enough to allow you make payments by instalment. However, there are usually costs involved with paying in instalments that you need to avoid them if you can. There are setting up fees and interest charges on top of your premium for this service. So, paying in full can save you a bit more money.