The most essential priority after buying a new vehicle is to get it covered by insurance. In today’s world, when there are so many accidents taking place everyday and the cost of insuring one’s car is almost reaching the sky, it is very important for a car owner to see whether they are able to grab the best insurance deal at the most convenient rate. Though it is not very difficult now to get an estimate for the car insurance, you may need help understanding the terms and benefits that one is likely to get out of the insurance. In many cases, people have to pay $100 or more every month as a premium to their car insurance which can be unbearable. Fortunately, there are some car insurance tips I have learned which may seem helpful. I have shared them below.
1. The most obvious way of saving a significant amount of money on car insurance is to adequately comprehend the insurance requirements of your city or state. Different states ask for different forms of liability car insurance. For example, even if they do not require it, they may ask for the driver’s financial records to see if they can bear the expenses for any repairs to be made (if any) in an accident if they are found guilty. When you understand the minimums of the car insurance policy of your state, you may need to change the level of the insurance you get. For example, if someone has a worthless car and they pay for collision and collateral car insurance, then they should stop it or reduce it since they are losing money by paying for that feature.
2. It is always better to shop around a little bit or get car insurance quotes from various car insurance companies. You will come across several websites offering car insurance quotes from many insurance companies. This will help you to compare car insurance quotes and negotiate with the car insurance provider well. When you have got all the probable rates of car insurance at your hands, you can ask your car insurance provider to cut down the rate or you may turn to somewhere else. You should see whether your car insurance provider is offering you the lowest rate. Many times, these car insurance providers do not want to lose a potential customer and hence are compelled to make some compromises in the rates.
3. A rise in deductibles can also help you to save some money on your car insurance. The insurance deductible means the amount that the insured person is supposed to pay from their own pocket after making an insurance claim. Insurance deductibles can range form $0 to as high as $2500. A $500 deductible raise could mean a $10 reduction in your monthly premium of car insurance. Therefore, it is very useful to raise the deductible you pay because it can save you money each month.
4. Often the experience of the car driver can count in favour or not in favour when it comes to insurance. If the person has very little experience in driving, they may have to bear a high rate of car insurance premiums. Those who are more experienced will enjoy lower rates. Additionally, it is an added advantage for the car owner to possess a good driving record. If you want, you can also try to a defensive driver’s course or a driver safety course. These can also bring additional discounts on your car insurance rate.
5. Those who possess more than one car in a car insurance policy are eligible to get discounts from the insurance company. Many insurance companies are offering discounts for multi-car policies as well as some multi-line discounts for people who have different policies for different things like a car, a home, or life insurance etc. under the same insurance company.
6. Pay your insurance bill using a cash back credit card. It is a great way to get a financial return on your expense.
Saving money on your car insurance is not difficult, but it certainly requires you to be attentive towards these above factors. By being an active customer you can dictate the coverage of your Miami car insurance and how much you pay.
So, how have you saved money on car insurance?
I always pick a high deductible to save money. I figure if the accident is my fault, I should pay. If it’s not my fault, I don’t pay the deductible anyway.
@Robert. Fair enough reasoning. I too opt for a larger deductible now. I used to pay for a lower one when I was a younger less experienced driver but now that I am older I can save the money for other things.
I belive in paying a car in full so you don’t have debt and have only Liability coverage so the insurance stays down. and just drive safe:)
@Aaron. Sounds like a good plan to me. We also pay for our premium annually which saves on interest.
I just stumbled upon your blog and wanted to say that I have really enjoyed browsing your blog posts. In any case I’ll be subscribing to your feed and I hope you write again soon!
@Josey. Thanks. I appreciate your readership and I hope you find future articles interesting.
Good advice. I especially like the last one. Use a cashback credit card. I’ll have to do that the next time my bill comes around.
You should. Or try a rewards cards. They really add up fast.