Auto Insurance: Top 5 Tips to Help You Save

As the owner of a vehicle, or two, you need to get cheap auto insurance or else you will end up paying quite a bit of money to your insurer every year. At the same time, you can’t very well be without any sort of insurance. Not only is it illegal to drive without insurance but you also expose yourself to serious financial risk by doing so. Finding out how to get affordable insurance will save you a great deal of money. The following tips will definitely be of good use to you:

1. Get only the coverage you need. If your vehicle is over insured then you will just end up paying money for nothing. Have a discussion with a reliable insurance agent in order to determine exactly how much you need. The car you drive, how often you drive and also the number of people who will drive the car have a bearing on what kind of coverage you need.

2. Combine all your insurance needs and deal with one insurer only. Try to get a multiple car discount. Insuring your cars separately will cost you extra money. Also, your homeowners insurance as well as medical and life cover should ideally come from one company.

3. See whether you have been given all possible discounts. Insurers generally give discounts on a variety of counts. They range from the use of anti-theft devices in the car to a good driving history without any accidents or claims. It is also possible to get a discount if one has had defensive driving classes. These discounts and the percentage offered on them vary according to the insurer.

4. Opt for an annual policy instead of a 6-month policy. You do have to pay more money upfront if you buy insurance for the entire year but you’ll save money overall.

5. Do not settle for the first quote you are offered. This might seem to be obvious but most people don’t bother asking for a better discount or even shopping around for the best possible quotes. Thankfully, it is quite easy to get multiple quotes these days and you will not have to invest a lot of time in it.

You might have to put a bit of effort into finding cheap auto insurance but you will be really glad that you did so. You’ll save quite a bit of money on insurance which is a recurring expense.

Top Ways to Save on Auto Insurance

When you get a car, you need to have auto insurance. It is important to get coverage that is comprehensive, but also inexpensive. While most people care a great deal about getting a good price when they first set out to get car insurance, they often fail to continue searching thereafter. Not continually looking for good deals can cost you hundreds each year.

Many people are unaware that the cost of your auto insurance can be lowered to help you save, depending on your driving record, your car, and where you are.

Increase Your Deductible

If you insurance the amount you pay for a deductible, it will reduce the cost of insurance fees. Now understand that this move is certainly one way to save on the costs month to month, but if you end up in a car accident, then yes it can end up costing you more to fix the damages.

However, if you have a history of being a safe driver, try it out and set some money aside for an emergency fund to cover unexpected car costs.

Try Carpooling

There are some insurance companies which actually track mileage, so the less you drive, the cheaper your coverage. With these policy types, if you drive less than 7,500 miles you get the lowest rate, and anything up to 13,000 is the medium rate.

Change Plans to What You Need

It is better for you to change plans to what you need, when you need them. Buying a brand new car is going to require different insurance compared to an older car. When you are paying off your car loan you will need collision and comprehensive coverage, but once it is paid off you have many more insurance options at your disposal.

You might end up with more collision insurance than you need. In fact, on older cars it is recommended that you drop collision insurance anyway because comprehensive coverage is comparable inexpensive and will give you all the coverage you need.

Combine Policies

If you have car insurance and renters/homeowners insurance through different companies, you might be able to combine your policy with one company and stack discounts.

Check for Discounts

If you have changed jobs, moved somewhere new, or anything else, keep track of your policy options. You might be able to get a cheaper policy in a new town or with a new job.

Check Your Credit

Your credit score has a small role to play in what your insurance costs are. So pay your bills on time and make sure you work hard to improve your credit score. As you are doing so, continually check to see if you now qualify for lower rates.

Other Discounts

As a student, good grades can earn you discounts. As an adult, see if you can take an adult driver safety program from better discounts. Consider avoiding a red colored car, as these come with higher insurance rates for users compared to other colors.

Skipping Car Servicing to Save Money? Use Multiple Car Insurance Quotes Instead

We all have the tendency to treat cars service and maintenance activities as an unnecessary and unwanted task. This is the reason why we never hesitate to give this expense a skip when monthly budget is tight. However, this is shortsighted move that is going to backfire in the long run.

If you do not to take care of your car properly, then you will probably end up paying more on its insurance. How is the auto insurance provider concerned about servicing of your car?

If you do not service and maintain your car properly, then the auto insurance company infers that

– You are not a responsible car owner

– You are not disciplined with your finances

– You do not have a habit of taking care of your assets properly

– You underestimate the risk of wear and tear of various auto components which may cause heavy losses at a later date.

The auto insurance company is obviously concerned because of malfunctioning brake or a damaged clutch plate can lead to an accident. The insurance company will have to bear the cost of repairing your vehicle and to pay the damages owed to the other party. In such a scenario, it is but natural that the insurance company will be interested in securing its position.

If you have the money but are not interested in taking care of your car properly, then you should sell it off and travel by bus. Only then will you understand the benefit of the automobile and the importance of its proper maintenance.

If you do not have the money, then you should not to let this be an excuse. You should take steps to bring down your expenses and save money. Why don’t you reduce the cost of insuring your automobile and use that money to pay for the servicing? As you service your car more often, your insurance rates will remain under control, which will in turn leave extra cash in your hand to pay for those services.

How can you enter into this beneficial vicious circle? Just log onto the web and make use of multiple insurance quotes. These quotes will direct you to the cheapest insurance deal available in the market. Once you have identified the cheapest one, you can negotiate further discounts and receive a few hundred dollars. This will definitely be sufficient to take a proper care of your vehicle.