Top Ten Secrets to Cheap Auto Insurance

When you have been arranging automobile insurance for years you may start to believe that you know everything there is to know. This may be true but would you be applying your knowledge when you are buying policies? Listing down the ways you can lower your premium helps you maximize the savings. So, here are some of the biggest discounts you can achieve and how you can achieve them.

  1. Drive a Low Risk Automobile

Every vehicle has an insurance rating. The lower it is the cheaper your premium will be. Generally, safer automobiles with higher security features are preferred by auto insurers. Their value and engine power are other two important considerations taken into account when you are getting quotes.

  1. Drive Carefully

Along with the vehicle insured the drivers insured is pretty important. If you can prove that you have been driving cars for some time without any claims it is a good indication that you will carry on the same. This will provide a high level of comfort for your insurer. And they would be happy to offer you cheap auto insurance rates as long as you stay claim free. You also need to mind traffic tickets too as they will see them on your records and adjust the premium accordingly.

  1. Make Sure You Keep a Good Credit

Vehicle insurers look at applicants’ credit score and adjust premiums accordingly. You can get quarter of your premium knocked out if you have a good credit with some providers. Also, you can get better interest rates for your credit applications and mortgage if you have a high credit score.

  1. Find a Home in a Low Risk Neighborhood

Quotes depend on your zip code as well. Every zip code has its own risk profile and companies know what is going on in there in terms of auto thefts, accidents, vandalism and other crimes. Generally, quieter areas out of the city are cheaper. You should consider the possible effects on premiums when you are moving next time. Furthermore, you can get extra discounts if you have secure, private parking.

  1. Look into Multi-car Policies

If you have more than one car in the family you can save a lot of money by insuring them all on the same policy. Multi-vehicle policies may include your RV as well with some providers.

  1. Bundle your Home and Auto Insurance

You would normally get further discounts if you buy all your policies from the same company. They offer intensives to bring other policies to them and this usually comes in the form of discounts.

  1. Take Advance Driving Courses

Young drivers can get discounts for advance driving licenses and older drivers can save money by completing safe driving courses. You should check which courses would qualify you for discounts before paying the course fees. Some companies may offer you discounts if you complete their online courses and pass the tests.

  1. Pay Premiums Upfront

A few carriers offer extra discounts if you pay the premium upfront. And many of them charge interest for instalment payments. So, you could at least save on additional costs when you pay the premium in full at the start.

  1. Consider Increasing Deductibles

Get quotes for higher deductibles and see if there is a point in increasing them. Generally, premiums go down when deductibles increased. This is a double edged blade as you will have to pay more out of the pocket if you increase deductibles. So, think carefully before hastily increasing them.

    10.  Shop Around for Lower Quotes

You can shave off large chunk of your car insurance costs if you shop around for the lowest rates. These days it is quite easy to get a few quotes online about half an hour. So, why not try and see how low your premium can go down.

This entry was posted on August 1, 2014. Bookmark the permalink.