Smart Ways of Lowering Your Car Insurance Premium without Compromising on Safety

Smart Ways of Lowering Your Car Insurance Premium without Compromising on Safety

Even though it can pay for personal injury and the repair of your vehicle in case you have an accident, the cost of car insurance is often a major drawback. Most people are unaware that they can save significantly on their car insurance premiums by knowing the kind of coverage they should get and getting the best deal by exercising several options. A quick look at how you can make car insurance more affordable:

Compare Insurance Rates

Since the risk perception of different auto insurers is different for the same coverage, it is not surprising to find a very wide variation in the premium rates. While even a good driver with a respectable credit history can save more than $1,200 annually, the potential savings for drivers with a less than perfect record and credit rating can be double that by choosing the cheapest insurer. When getting comparative quotes, be sure to use your own profile and credit history. Ensure you also read up an expert review of car insurance companies to assure yourself that you are making a good choice.

Know the Discounts You Can Take Advantage Of 

Different insurers offer different incentives to get customers to sign up with them. These discounts are based on multiple factors like the extent of coverage, driving record, lifestyle, age, educational qualifications, driver training, membership of specific affinity groups, online transactions, auto-debit of premium, low mileage, safety equipment installed, as well as a bonus for new customers car-essentials.com. According to https://cars.usnews.com, by bundling your homeowners’ insurance or policies of other cars, you can save an additional 10% or more. Students can also get a discount for good grades. By increasing the deductible, you can also lower your premium. It is advisable to ask your insurance agent to find out the discounts you are eligible for.

Don’t Over Insure

The extent of insurance has a direct bearing on its cost and you should get optimal insurance. This means that if you are driving an expensive car, you should have collision insurance; however, if your car is a clunker, you can opt out to save substantially. Similarly, you should consider whether you need comprehensive insurance that covers your vehicle against all events, including theft, fire, accidents, vandalism, storms, and more. If the cost of the deductible and the insurance is more than what your car is worth, you should only get the mandatory third-party insurance cover and forget about the rest.

Maintain a Safe Driving Record

Drivers who are involved in accidents or get traffic violation tickets are a greater risk for insurance companies and hence they compensate for it by charging more. The trick to getting a low insurance rate is to drive for as few miles as possible and stay out of any driving incident that can spoil your record. Maintaining financial discipline and ensuring good credit is also a big money-saver.

Conclusion 

You can make a big difference to the premium amount by shopping around for the best rates, availing of all the applicable discounts, driving safely, getting optimal insurance cover, maintaining good credit, and increasing the deductible, among others. Driving a cheap car can also make a major difference.

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