The Best Tips To Getting Huge Auto Insurance Savings

June 18, 2010 by  
Filed under Car Insurance Tips

Get savings on your insurance by upping your deductible and maximum coverage. Do not lower your coverage, as it is a dangerous attempt. Not that you are asking for it, but in case you run into a $500,000-damages vehicular accident and you only have the $50,000 liability coverage, you will be shouldering the deficiency. You don’t want that, so the first tip is to keep deductible and maximum coverage high.

Know about the discounts available. There are many ways that consumers can get discounts on their auto insurance. There are the common ways but you might as well want to know that teenage drivers with better grades, good drivers, cars having low mileage, making EFT payments and attending defensive driving courses are some of the great ways to look for when obtaining discounts.

Buy an umbrella policy. This is an insurance type that lets you insure your home complete with its contents and your vehicle under one company. You will discover percentage savings can discount you off your yearly policy unlike when you buy them separately.

Drop the collision coverage. It is recommended if you are driving an older car. What you may be paying for the collision coverage may be more than what you should. Take note that insurance providers only pay for what the automobile is worth and not its total replacement expenses.

Protect credit score. Most people don’t know that having a good credit score has a good impact when buying auto insurance. In this case, it is recommended to work really hard on keeping credit score high and if there’s any error on the report, you must immediately correct them before shopping for auto insurance.

Know how to file an insurance claim. It is probably the most common flaw for the consumers not knowing how claims processes are handled. Learning how you can file a claim and how the provider processes it will give you a better idea if it is a good move for you to trust your car and your money to an insurance company.

Shop and Compare. Shop around, obtain multiple quotes, and then compare them. This is one of the best ways on how you can find an insurance company that can provide the best deal in auto insurance. The internet is an excellent way to obtain quotes from different insurance companies, so open your desktop and browse the internet away.

Save on combine insurance policies. Purchasing multiple products, such as homeowner and auto insurance, from the same company can earn you savings. It is also the same if you combine the premiums on your car and your teen’s.

Compare insurance policies first. You can also get huge auto insurance savings if you compare the costs of insurance policy of the vehicles that you are eyeing. Insurance providers see how much worth the insurance of a car based on safety records, so even if you are eyeing on similar vehicles, they might come with different insurance prices. A car that has lower insurance premium can save you money.

Car Insurance FAQs

June 18, 2010 by  
Filed under Car Insurance

Can I insure a modified or classic car?

Yes, you can insure a modified car but because your car is a specialist car, not all auto insurance companies will be willing to provide coverage for it since it requires high price replacement parts and also skilled labor if the car is involved in an accident. Thus, you have to take out special car insurance that is designed especially for modified and classic cars.

How can I lower my car insurance premium?

There are a few things you can do to lower your insurance premium. First check to see that you have the right coverage for your vehicle and that you are not over insured.  If you have an older vehicle that has high miles, you might not want full coverage because you won’t get the money out of what you have payed in if you are in an accident. Second, see if there is a multi car discount, if you have more than one car insured with the same company there is usually a discount. Third, ask if there is a discount if you have an anti theft device installed, most insurance companies do offer this discount. Just those 3 things can save you A Lot of money in the long run.

What is a deductable?

The deductable is the amount you pay out of pocket before the insurance company kicks in.

Can an insurance company cancel my auto policy?

Yes, your auto policy may be canceled if you fail to pay the premium or if your driver’s license has been suspended or revoked during the term of your auto policy. Also, if there is a fraud or serious misrepresentation when completing the insurance application, if the you are convicted of a crime, or if changes are made to the property that increase the risk of loss then the company may cancel your insurance policy.

5 steps to find the cheapest car insurance deal

June 18, 2010 by  
Filed under Car Insurance Tips

Owning and driving a car means being responsible for yourself and others.

Car Insurance protects motorists and drivers against liability in the event of accidents they or others may cause. It can also provide coverage for the motorist’s own vehicle and if the accident is their fault, it can cover the other motorist’s vehicle as well.

Many different types of coverage are available, ranging from full coverage which usually covers anyone driving your vehicle and all those involved in the accident to third party coverage which protects individuals against liability should they injure a third party or cause damage to a third party’s property, but does not provide any coverage for the individual’s own vehicle or property, to comprehensive coverage, which can offer protection for accidental damage, theft, fire damage as well as liability towards third parties.

5 steps to follow to find the cheapest deal:

STEP 1: Deductable

Voluntary deductable – the easiest way to cut your insurance premiums is to accept a higher deductable.  An insurer’s standard deductable may be $250; but if you decide on a higher deductable, say $500, you’ll see a reduction in your premium.  This is because you are less of the risk so you get a discount by your insurance company.  This however is a gamble, you should be aware though that you will be responsible for the first $500 of any claim, even if that means a broken window from someone trying to break in.  In the long run though, it usually pays off, for instance, if you were in an accident that caused say, $2500 in damage, you would only pay the first $500 and the insurance company would pay the rest. The money you save on your policy payment would you have a lower deductable is well worth it!

STEP 2: Anti Theft

Many insurance companies will give you a discount if you have an anti theft device on your vehicle. This is especially true if you are living in a high-risk area which is known for car thefts or break ins. Check with the insurance company to see which types of anti theft devices are considered for a discount.

STEP 3: DRIVERS

Adding a driver to your policy can increase or reduce your premiums depending upon the driver’s age, sex and driving record. In most cases adding a young driver will increase your premiums. However, adding a driver over 30 with a long and clean driving record can cut premiums, particularly if the driver is a female.

STEP 4: MILEAGE

How you use your vehicle can also determine the cost of your policy. For example, if you only use your vehicle for pleasure, and only drive an average of … miles per year (determined by your insurance company) the cost of your policy will be lower than say, if you use your car for business or going back and forth to work therefore putting on more mileage and being on the road more often, which puts you at more risk for an accident.

STEP 5 – SHOP AROUND FOR GOOD RATES

Shopping around for the best rate is imperative in this economy.  You should know that the car you drive can also have a big impact on how much your insurance policy will run.  A sporty more expensive car is going to cost much more than an older more common model, so something to keep in mind when purchasing a vehicle.  Use the internet to do some comparison shopping for different insurance companies and with a little work and effort you should find the best policy for you.