Less Common Ways to Limit Car Insurance Costs
You have to insure your car but you should not have to break the bank to do it. Many people know about the common ways of lowering or keeping their payments low, such as good credit, avoiding accidents, and preferred discounts, however there are other possible ways. Below are seven less common ways to lower the cost of car insurance.
1. Buy the Right Car
You might be surprised to know how much the type of car you have affects the price that you pay. Not only do specific types of cars, such as sports cars, cost more but other characteristics also affect the price. Insurance companies operate off of “what if,” so if your car would be cheap to fix in the case of an accident, meaning the parts are cheap to replace, then chances are you can find a decently low plan.
2. Bundle Your Policies
Many insurers offer discounts for clients who are willing to bundle their different insurance policies through the one company. Similar to internet, phone, and cable services, you can get more and pay less with such a method.
3. Pay For What You Need
Reading your policy is key. Take time to go over all aspects of your selected plan and see if you need all of the benefits offered. You may find that you have double coverage of some benefits from multiple policies, or you might find that you simply do not need certain benefits. Either way, you may be able to remove the coverage and significantly lower your bill.
4. Speak to Your Agent Regularly
Taking time to speak with your agent at least once a year when it is time to renew your policy be very helpful. Your agent knows and understands the different requirements, procedures and possible discounts that the company offers. Therefore, if any changes in your life can help lower your premium, such as you switching jobs and having a shorter commute to work, your agent will be able to assist you.
5. Make Large Premium Payments
When you buy items in bulk, you can usually receive or negotiate a smaller price. The same concept applies to your insurance premium. Even if you cannot pay off the entire year in one payment, paying large amounts of your premium at once, if even four months at a time, can help to significantly decrease your costs.
6. Find a Low Crime Residence
Quite simply stated, a low crime area signifies less of a chance of your car being burglarized or stolen. As such, if you move from a high or moderate crime area to a suburban, low-crime area, you could possibly receive a lower premium cost.
7. Stay Loyal
A loyal insurance customer is a valued customer. Many insurers will employ different incentives or offer discounts to those clients who stay with them for many years. They also will usually be quite helpful in settling their valued customer’s claims quickly and efficiently.
By employing the aforementioned tips along with other common strategies to lower insurance costs, you can be well on your way to quality, affordable coverage. For more details, contact your local agent.