10 quick and doable ways to get cheaper car insurance
July 12, 2018
How to Get Cheaper Car Insurance
Car insurance is an expensive, yet necessary, part of car ownership. It’s what protects you and other drivers in the event of an accident, which is why it’s so important. If you have a high rate, though, your insurance can seem like a burden. But don’t let that get you down. If you’ve ever wondered how to get cheaper car insurance, there are a number of things you can do to lower your premiums and find the best car insurance for you.
Compare Quotes from a Range of Insurance Companies
A lot of insurance companies have reputations for being “the cheapest,” thanks to marketing campaigns and specific customer experiences. When you’re shopping around, though, don’t assume one company is your cheapest option. It’s most likely not the case. Quotes people get from insurance companies can vary wildly based on many factors, including age, driving history, and which states or provinces they live in. This means that the cheapest option for one person, might not end up being the cheapest option for you.
Make sure to compare your options. Quote with a number of different companies, and decide which works best for you that way. There are a number of ways you can do this, from using an online comparison engine like Mychoicecarinsurance.ca, to an individual insurance broker.
Consider insurance costs when buying a car
When purchasing a new vehicle, there are some factors you already look into, like safety ratings or how many miles per gallon it gets. Insurance cost is another factor that you can take into consideration before you buy, because some cars will be cheaper to insure than others. Newer cars, for example, are going to have a higher insurance cost than older models.
Aside from information on insurance trends in specific vehicles that you can find online, if there is a car that you’re looking at you can contact your insurance provider, too. Oftentimes they will be able to give you an insurance quote for that vehicle over the phone. Check out CAA’s driving cost calculator and you can get insurance costs by model!
Check for Insurance Discounts
Many insurance companies offer a plethora of discounts to their customers. These can include things like paperless billing, mileage, and insuring multiple cars under a single policy. Even specific vehicle features, like an anti-theft system, can be something considered for an insurance discount.
Discounts offered can vary from company to company, so as you shop around, be sure to ask about what kinds of discounts are available as you’re getting quotes. Even if you’re just looking to renew your insurance through your current company, you can ask if there are any new discounts you qualify for.
Bundle with other Insurance Products such as Home, etc
Bundling your different insurance products can save you a lot of money in the long run, not just for your car insurance but for whichever insurance you’re bundling with it, too. Not every company offers this, but a lot of them do, and it’s definitely something to look into if you insure more than just your vehicle.
Homeowners or renters insurance are frequently the most common products you see bundled with auto insurance, but it’s not the only kind of bundle available. Check with the companies you’re quoting with to see what kinds of bundles they offer.
Pay your Insurance in Full, don’t do monthly payments
A lot of people opt for monthly payments, because it’s less of an upfront cost. If you’re looking to lower your insurance, however, monthly payments aren’t the most cost-effective. If you pay your 6 or 12 month insurance premium in full, your overall cost is going to be a lot less than paying month-to-month.
Usage Based Insurance
Usage based insurance is still a pretty new concept in the insurance world, but it’s one that can save you a lot, especially if you don’t drive all that much. Companies that offer usage based insurance can do so in a number of ways, though the most common is tracking how many miles you drive in a specific period of time. This can be anywhere from a few weeks to a few months.
Some other things that can be tracked by usage based insurance is how you drive, so if you’re a safe, careful driver, this is something that can work in your favor when you’re being quoted in this way. The Financial services commission of Ontario has some interesting fact about Usage Based Insurance.
Increase your Deductible
Your deductible is the amount you pay before your insurance kicks in to pay the rest of the damage to your vehicle. Most people want a lower deductible, so they pay less in the event of an accident. However, if you’re more worried about your premiums, increasing your deductible is one of the ways you can see an immediate change in price.
Maintain a Clean Driving Record
One of the major factors that goes into your insurance costs is your driving record. Keeping your record clean for an extended period of time is one of the best ways to see your costs go down. It might not be something that affects your insurance cost immediately, especially if you have an accident or two on your record already.
But don’t let that discourage you. If you drive safely, and avoid accidents for an extended period of time, then you will see it reflected in your insurance further down the road.
Consider Your Coverage
Another one of the major factors in your insurance cost, is the coverages you have on your vehicle. The more coverages you have, the higher your rate will be. Think about what you need out of your insurance. If you have an older vehicle or you’re not worried about repairing your vehicle if it were to get a little scraped up or be involved in an accident, then maybe you don’t need collision and comprehensive coverage.
Before you go fiddling with your coverages, be sure to know what you’re required to have by law. That way you can be sure to have the best car insurance for you, while making sure you don’t get in trouble should something happen.
Pay Your Bills on Time for a Good Credit Rating
You might not think it, but your credit could be a factor on your insurance rates. To prevent poor credit from affecting your car insurance, be sure to pay your bills on time. You can also check your credit and see if there are any other things you can do to raise it.