Most people are paying too much on their car insurance. Some drivers assume that they already know everything about saving on car insurance. Others assume that they don’t qualify for discounts. However, saving money takes little or no effort for most policyholders. Here are several tips to help you save on car insurance.
Look for Discounts
Everyone makes assumptions about car insurance and the ways that people save. The reality is that there are more discounts available than you know about. Do the research first and know all of the vehicle insurance discounts that you qualify for.
Before you look for incentives, compare rates for the premiums and fees. Even if the rates are affordable, there may be terms in the policy that you don’t agree with. The insurance company does not always work for the customer, so understand the full risks and benefits of filing a claim.
Use Your College Status
College students have expensive tuition and loans to worry about, so they have access to a number of incentives for car insurance. Even if you own the vehicle and don’t have a steady job, you can afford insurance every month. Some insurers reduce the rates if you earn good grades, have the car titled in a parent’s name or drive the car sporadically.
Insurance companies don’t like taking on risky clients. In contrast to safe clients, they are more likely to file claims and request money from them. You receive discounts for driving safely and having a clean driving record with no accidents or tickets. You’re also rewarded for installing security features on the vehicle, such as car alarms or automatic alert systems. Many insurers provide discounts for drivers who have anti-theft devices installed.
Drive Less Often
A typical car insurer asks about your driving habits, including where and how often you drive. Save more by driving in cities that have lower crime rates. Also, save by driving the car only once in a while. Some insurance companies will install a tracking device onto your car and monitor every place that you drive.
Drop Coverage for Certain Vehicles
Reconsider paying for comprehensive coverage on certain vehicles, which includes damages for thefts, fires, and natural disasters. An older vehicle declines in value every year, so it’s not helpful if ensuring it costs more than owning it. It also doesn’t make sense to provide full coverage for a car that you use infrequently.
Save by bundling different policies, such as a car, home and boat insurance, with the same provider. The average multi-policy discount helps you to save a couple hundred dollars every year. Similarly, a multi-vehicle discount allows you to save by insuring several cars with the same provider.
After you choose a car insurance policy, continue looking for ways to cut down on the rates. Consider installing an anti-theft device or bundling the policies that you already have. It helps to have no accidents on your driving record, but there are things that you can do to save money.