How to Save on Car Insurance
Insurance is necessary, and expensive. Fortunately, there are many ways you can save on insurance premiums. If you own more than one vehicle, if you carry home or life insurance, the simplest way to save on your insurance costs is purchase all your policies from the same company. Putting all your policies together under the same company is called bundling. Companies, understandably, offer substantial discounts on insurance when you purchase more than one policy. It’s also much easier to manage your bundled policies. You only need to see one agent in case of a claim, and you only need to pay one bill.
Another easy method of lowering your auto insurance premiums is choosing a higher deductible. Raising your deductible always saves you money, but there is a catch: You absolutely must have the funds on hand to cover your deductible if you suffer a loss.
Getting quotes on your policies from more than one insurer is also a way to cut down insurance costs. Sometimes companies give you a better deal when they learn you are shopping around.
If you belong to a special class, like students, senior citizens or an organization or club, check to see if the insurance provider offers discounts or deals. Drivers over 25 and women also tend to get better deals on their car insurance premiums, too.
Save even more money on your policy be taking a defensive driving course or basic driver education. Companies will insist on the receipt proving you took and passed the course before you get a discount on your premiums. Many insurers offer a discount of 10 per cent on your premiums for taking these courses that document your seriousness about driving responsibly and safely.
Keep in mind that where you live impacts your car insurance rates. Drivers who live in urban areas will pay more than drivers who live in rural areas. Drivers who live in high risk areas will also pay more for car insurance than drivers who live in areas considered less of a risk. This is another reason why you want to obtain more than one car insurance quote. Different providers look at and define risk differently. What may be considered high risk to one provider might be considered safe to another provider.
Own a sports car? Consider trading it in. Sports cars demand higher insurance premiums for the simple reason that they are much more often crashed or stolen. But if you buy a car that is not considered high-risk, you will have a much easier time negotiating a lower rate. Contact your agent for details.
Finally, if you can’t find a discount from this list, ask you agent. Many companies have their own discount programs that help you get your insurance costs down. Whatever your insurance needs may be, your qualified insurance provider will be able to help you find the right coverage for your car.
Tom Martens is the content syndication coordinator for Carinsurancesa.co.za. South Arica?s leading car insurance portal.