4 Ways Lower Your Vehicle Insurance
Most people are doing what they can to save money wherever possible. And one of the areas people are likely to choose the cheapest option is car insurance. With insurance there are many levels of coverage. It makes more sense to have high coverage if your vehicle is new, or if it is particularly valuable. But not every car is worth what the insurance company would like to charge you for coverage. Whether you have a DUI charge that is increasing your deductible, or another problem, with this in mind, here are a few ideas that might help you save a few dollars on your vehicle coverage.
- Find Out What your Car is Worth: Companies like Edmunds provide a value calculator for most car models. With this information in hand, you will be better equipped to decide on which level of coverage makes sense for you. You might also be able to arrange for a lower premium by demonstrating that you know the value of the car. You might want to go for middle coverage like the one offered by rabbitfinance.com/car-insurance/type2. Knowing what your car is worth is good information to have.
- Research Insurance Before You Purchase a Vehicle: If you don’t want to be overwhelmed by high payments, it is a good idea to investigate all the costs of a vehicle before you purchase it. Insurance premiums fluctuate widely between different vehicle types. Even if you are buying second hand, it is a good idea to know what you will need to pay for coverage before you make that purchase.
- Choose a High Deductible: One way to get lower premiums is to choose a policy with a higher deductible. The deductible is the amount you will need to contribute to the insurance payout. Insurance companies use the deductibles to discourage nuisance claims. But you can use this to your advantage by essentially insuring part of your vehicle yourself. This can be a big money saver if you never make a claim. Of course, that is part of the gamble with insurance, you can never know if you will need it or not.
- Choose the Lowest Coverage Package: Many people choose to go with basic insurance to save money on insurance premiums. The monthly payment is lower, and this might be the best idea for low value cars, or people who really can’t afford to purchase full coverage. Typically, this means that you will not have collision, theft, or fire coverage, and mainly you are covered against damages caused when you are at fault, not the damages or injuries that you incur.
Other possibilities for lowering your premiums are to look for special discounts for low mileage or group insurance rates. Also, for young people, many companies offer a discount if they have had a certified driver training course and no history of a traffic accident. Another option is to pay the entire yearly fee in one payment. In some instances, companies charge more for monthly instalments. A good Internet search will help you discover which company will be the best match for your situation. And do not hesitate to ask the agent if there are any other ways to save. In many cases they will be more than happy to help.