Save Money On Car Insurance Right Now!
Many people have a love-hate relationship with car insurance; you hate to receive a bill for something you hardly use, but you love it after an unfortunate accident (if you can afford the deductible). Listed below are tried and true steps that anyone can take to reduce their car insurance premiums.
Multiple Line Discount - one can take advantage of deep discounts by insuring all cars, boats, homes, and apartments with one insurance company.
Update agent if recently laid off or work from home - Driving less miles per week, usually less than 100 per week can reduce your policy rate.
Safe Driving Discount - You might eligible for a discount if you have been free of accidents and tickets for several years.
Raise your deductible - A bump up in the deductible will allow you to keep hundreds of dollars in your pocket. Over several years of being accident-free, that savings quickly adds up.
Shop around -- when your premium goes up, let your agent know you are looking; chances are they will find some other discounts.
Under 25 parent discount - At the age of 25, car insurance premiums decrease because insurance companies feel the driver is now more experienced. However, parents under the age of 25, will also receive this discount because the insurance companies feel a parent is more responsible. Note: you will not receive another reduction once you turn 25.
Full coverage or liability - An insurance company will not spend more money repairing a car than it is worth. Therefore, check the value of your car using Kelley Blue Book and determine whether full coverage if still needed or if it is best to switch to liability.
Get insurance quotes before you buy a vehicle and choose vehicle color - the type, model and color will affect you premium. If you don't want your premium to increase stay away from red sports cars. Also popular foreign models such as Toyota and Honda might have high premiums because they are stolen regularly.
Steer clear from short-term policies - You might receive a penalty for purchasing a short-term policy, go with long-term.
Don't let your insurance lapse - A lapsed insurance policy indicates irresponsibility and high-risk. Avoid this at all cost. When you are ready to renew you will notice that your cost will have jumped tremendously.
Only insure cars that are driven - Cars that are inoperable do not need to be insured. To avoid any complications or penalties with your state, make sure your car is registered as 'inoperable'.
Refresh your driving skills - some insurance companies offer training courses that can reduce your insurance premiums at the end of the course. There are fees for these courses, so do the math and make sure the training course is worth your money.
Don't hit anything or get a ticket - Your fault or not, this can increase your policy rate for several years. Keep your eyes on the road. Avoid tickets. Speeding tickets and other moving violations can push your rates up substantially and these, like accidents, usually affect your insurance for 3-5 years.
Don't let your teenager drive your car - Teenagers are viewed as inexperienced drivers and cost a small fortune to insure. Instead of letting them drive your car, purchase a reliable used car and only get liability.
Have a high FICA score - Many insurance companies are now factoring in ones credit scores to calculate premium cost. A person with a high credit score is rewarded with a lower premium and a person with a low credit score will be punished with a high premium.
Pay semi-annually - This is my favorite!! A surcharge fee is generally applied to customers who pay monthly. This fee is easily avoided by paying semi-annually. Begin to save up enough money to make the 1st semi-annual payment. After you make that payment, automatically transfer the monthly insurance payment into a high-yield savings account to earn interest. When you receive your semi-annual bill, pull money from your high-yield savings account to cover your premium cost. Any money earned from interest is profit.
Happy Savings!!
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