Buying a car is not generally considered to be a big investment. That’s because most people forget to factor in the cost of auto insurance – which can amount to thousands of dollars over the years.
Even though auto insurance can be an expensive affair, it is absolutely necessary. Why? Because this investment saves you from many other hefty expenses that could come your way in the future, in case of an accident or damage to your car! But, it’s always a good idea to try and save as much as you can on insurance.
Here are 5 tricks to help you do that:
Get Multiple Quotes
It is always better to shop around for insurance quotes because insurance companies have their individual ways of coming up with quotes for different customers. Also, insurance providers may quote different prices for the same vehicle and these rates may change with time. So make sure you get updated quotes every year.
Inquire About Discounts
One of the easiest ways to get lower prices is by bundling all your insurance plans, including life, health, auto, and homeowners insurance. This can put you in the running for some solid discounts!
Increase Your Anti-Theft Coverage and Driver Assistance Features
Plenty of insurance providers offer discounts if the car is equipped with anti-theft equipment like vehicle-tracking technology. Additionally, insurance companies started offering discounted rates for vehicles that offer the latest tech in driver assistance.
Reduce Your Coverage
A foolproof way of lowering your premium payouts is by simply reducing how much your insurance company pays for your claims. If you drive an old vehicle, you can reduce your insurance coverage to one that is appropriate for the car’s value, especially if it is approaching 12 years. How does this work? The older your car gets, the lesser it is worth, which means you don’t need the same amount of coverage as you did in the past. You can also choose to increase your deductible, which will lower your premium.
Explore the Option of Monitored Driving
Some insurance providers let you choose between going for a flat rate and paying for insurance based on how far or how much you drive the vehicle. This coverage option isn’t always available and comes with the requirement of a tracking device to monitor your car’s mileage. It is a shorter and easier path for low-mileage drivers to lower their insurance premiums.