How to Get Cheaper Car Insurance Tips

How to Get Cheaper Car Insurance Tips | insurance-1st.blogspot.com
Nowadays, car insurance is really expensive. A typical insurance policy can cost a few hundred dollars to a few thousand dollars a year.
And the insurance rates you pay are hugely dependent on the insurance company or agent, your age, your car type, your driving record, and even the area you reside in!

You should never go without car insurance though, despite the costs. Almost all the states require you to protect yourself with a minimum amount of liability coverage.

How to Get Cheap Car Insurance Tips

Here are tips that can help you to get cheap car insurance:

Request higher deductibles.

Your car insurance deductible is the amount you agree to pay upfront before your insurance company pays its share to repair your damages. Inquire about increasing your deductible from, say, $300 to $600 -- you might be surprised at how much you can save every year. In some cases, you could save between 10-25% on the cost of your collision and comprehensive coverage. If you increase your deductible to $1,500, you may be able to cut it even further -- perhaps by as much as could decrease that cost by at least 35 percent, or more.

Drop coverage you don't need. 

Do you drive an old beater? Consider dropping collision and/or comprehensive coverage altogether. Who needs to pay a premium that is higher than the actual value of the car to begin with? So go online and check out how much your car is actually worth. You can do this at Edmunds.com.

Don't pay for double coverage for medical.

If you're already covered with a decent health, life and/or disability insurance policy, just buy the the minimum personal injury protection that your state requires.

Don't buy a car that thieves like to steal.

It’s more expensive to insure a car that is popular with car thieves. You can check out the statistics for that at ConsumerAffairs.com. And while you're at it, don't buy a car that is expensive to repair.

Drive less.

Many insurance companies offer a “low-mileage discount” to drivers who qualify. So if you can carpool to work, you might save on gas AND insurance. And not only that -- you'll sustain less wear and tear on your vehicle too. Lastly, many cities reserve an express lane on the freeway/interstate for carpoolers -- so you'll get to work faster, too. Call your insurer and find out whether you qualify.

Safety features can save you money, too.

Did you know that you can often get a discount if you own a car with automatic seat belts, anti-lock brakes and/or daytime running lights? Also, if you have an approved alarm system or other anti-theft device you can save money, too.

Put your teenager on your policy.

Don't put teens on their own policy -- it costs too much. And another thing about teens: if they keep decent grads and pass an approved drivers’ training course, you can get a reduced rate for that as well. Lastly, if your teen goes to college more than 100 miles from home, they can qualify for further discounts -- if they leave their car at home.

Put all your family's vehicles with one insurance carrier. 

Many insurance companies will be happy to take your premiums for more than one car at a time. And not only that -- if you buy homeowner's and/or life insurance too, you'll save even more.

Ask this simple question: "What other discounts should I know about?"

If you’re older than 50 and/or retired, you might qualify for a discount through organizations like AARP; if you have no accidents or points on your record, you could qualify for a safe-driver discount; and/or if you’re a longtime customer with your carrier, you could save some money that way.

Reconsider before paying extra for roadside assistance.

Here's the thing: getting towed might actually increase your premium and/or affect your eligibility for coverage. And adding insult to injury -- you might have had coverage through your credit card. Check it out. Sometimes having roadside assistance through an independent company might be the best deal of all.

Tips To Lower Your car Insurance

Understanding car insurance can actually help you to decide on a suitable insurance policy that won't vacuum clean your wallet! Here, we have gathered best tips for lowering your car insurance.

Always compare insurance policies.
There are states which regulate car insurance rates, but the insurance premiums can vary by hundreds of dollars for the exact same coverage. It is definitely worthwhile to shop around. The first thing you can do is to check with your state insurance department. They often provide information about the coverage you need, as well as sample rates from the biggest companies. You can also ask your friends or look up the yellow pages. Checking consumer guides and asking insurance agents can pay off as well. You can easily find out the price range for your insurance policy, as well as discover the lowest prices in town.

However, you should not be shopping based on price along. The insurance company should provide good service at the best price. Excellent personal service is available as well, and they provide added conveniences, although they cost a fair bit more. Ask the company how you can lower your costs, and also check their financial ratings. The rule of thumb is always to get three price quotes from three different companies, and pick the one with the best value.

It can also be a good idea to increase your deductibles. When you file a claim, the deductible is the amount you pay before the insurance company pays for the rest of the damage. A higher deductible on collision and comprehensive coverage can lead to a much lower premium. For example, increasing your deductible from $200 to $400 can reduce your premiums by up to 25%. However, you must ensure that you have the financial resources to handle the largest deductible when the time comes.

Remove certain types of coverage from your policy. Almost all the states require liability coverage for your car, but the rest of the coverage is probably dispensable. However, you do not want to be underinsured if you're in an accident, so it isn't advisable to remove all of your additional coverage. Optional coverage includes medical payments, uninsured motorist, collision, and comprehensive coverage.

Drop collision and comprehensive coverage for older cars. If you drive an older car that's worth less than $2,000, it's probably more cost-effective to drop collision and comprehensive coverage since you'll probably pay more for the coverage than you'll collect for a claim. You can find out the worth of your car by asking car dealers and banks.

Make sure your credit report looks good. Car insurance companies often look at your credit history as there is a correlation between the risk to the company and your credit history. If you pay your bills on time and maintain a good credit history, you can enjoy lower insurance rates.

Maintain a clean driving record. The company will give you a price break and you can save on your insurance policy after a specified period of a clean driving record. This means that you have no accidents, no serious driving violations etc, during this period of time. The simplest and surefire way to qualify for this discount is to drive carefully and defensively all the time.

Choose a low-profile car. Insurance rates vary among difference models of vehicles. Generally, sports cars and high-performance cars tend to cost more to insure, mainly because they represent more risk of theft and the drivers are often the people who drive more recklessly. Newer cars will cost more to repair or replace than older ones, so naturally they can more to insure. Low-risk vehicles include station wagons and sedans.

Ask about safety and security discounts. The insurance companies sometimes offer discounts on your insurance if your car is equipped with the following: anti-lock brakes, air bags, automatic seat belts, car alarms, tracking systems. These reduce the injury risk to you, as well as the chances of your car being vandalized or stolen.

Ask about other discounts. You may receive a discount if you buy more than one type of insurance from the same company or if you insure multiple cars under the same policy or company. You may also receive discounts for taking a defensive driving course, staying with the same company for a few years, being a driver over 50, good-student discounts, and being an AAA member. If you already have adequate health insurance, you can also eliminate paying for duplicate medical coverage, thus lowering your personal injury protection costs by a substantial amount.

Tips To Save Big Car Insurance

Car insurance can make a big hole in your pocket. Car insurance premiums vary hugely between companies, agencies or agents, brokers, and of course the make of the car you own and your credit rating.
Tips to pay lower car insurance:

Always maintain a good driving record. 

Never accept the first estimate you receive.  Be wise and check comparisons of different insurance providers at your state insurance department website or phone them. Be sure to get competitive quotes from different insurance providers. Contact providers that are strongly recommended by people you know well. Keep your peace of mind by checking the financial stability of the companies with rating companies as well as in forums and blogs. 

Complete a market survey well before you select a car make and make a comparative table of insurance and other hidden costs. Find out which features increase insurance premiums and which ones reduce premiums. For example if parts of a certain make are hard to find or expensive such cars will have huge insurance premiums, similarly installation of anti-theft devices or an extra brake system lowers insurance premiums.

Choose to have higher deductibles this will reduce the burden by at least 10-30%. But look at your finances first and determine whether you can set aside US$ 300-US$1000 periodically to create an emergency vehicle fund.

Consider availing the insurance from the same company that has you covered for home, accident, or life. Many companies offer concessions to clients who have more than one kind of policy. Known as a multi-policy discount   this could benefit you.

Most policies are based on your personal credit record. Having an unshakeable credit history can lower costs. Pay bills on time, don’t avail too many loans, and be sure that credit balances are as low as possible.

Avoid duplicating medical coverage. Find out whether eliminating medical cover in car insurance will reduce your premiums or the personal injury protection costs. In some places the reduction is as much as 35%. So, if you have adequate health insurance you could weigh the pros and cons of eliminating this in car insurance.

Find out if insurance premiums are dependant on where you stay. Sometimes staying in a rural community or suburbs as against the city center could save you a bundle.

Take advantages of discounts like low risk career, low mileage, taking public transport to work, car pooling, no violations or accidents, taking defensive driving courses, following safety rules and regulations, or having a child who studies far away.

Use the reductions offered for insuring more than one car belonging to the family. Many companies have special offers for corporate organizations, club members, professional groups, alumni groups, or clubs.

Make time to make a big saving. Check through all the parameters and mark areas where a saving can be made. The market is competitive and you can be the beneficiary.