How To Reduce Your Car Insurance Premium

It is sad but a true reality that insurance rates for cars are going up following the surge of the rising cost of vehicles. And the worst news is that these rates are not likely to go down anytime soon.

 

So what you can do is try minimising the insurance amounts to less pressurise your pocket.

Here is how you can do it Reduce Your Car Insurance

1. Multiple Car Insurance

Try obtaining insurance for multiple cars rather than a single one. If you try getting a quote from an auto insurance company to insure a single vehicle the quote might be higher per vehicle than if you wanted to get quotes for several vehicles.

This is simply because bulk rates are always lesser for everything even insurance. If you insure a number of cars from one company they will offer you deals to keep you bringing in more business for them.

2. Impeccable Driving Record

It is a known fact that if you have a number of violations and accidents with your car then you need to pay a high annual premium. In fact, driving is assigned points for moving violations and consequently higher insurance premiums. So if you want to spend less on insurance, be more responsible and less careless with your car.

3. Defensive Driving Course

Insurance companies provide a discount for people who have completed an approved defensive driving course. In fact, drivers can also reduce their points on his or her license due to moving violations if he or she takes a defensive driving course or an accident prevention course.

So the bottom line is trying taking the test if you wish to cut down on the insurance amount. But also, make sure you know the details and the existence of such a discount on the behalf of the company before enrolling yourself into the course.

4. Shopping Around

When your policy is about to be renewed or when you see the annual insurance premium rising, you have the opportunity and the liberty to switch companies. All you need to do is shop around looking for quotes from the competitor insurance companies.

Also Read: Top 4 Tips to Negotiate Your Car Loan EMI

Even if these windows do not open it is almost wise to search for quotes every two years because the market keeps on evolving and you must be caught up with it. There is a high chance that you just might get lower rates if you look for them.

5. Raise The Deductible

The deductible is the money you pay before the insurance picks up the tab during an accident, theft or damage to the car. This amount will vary according to the policies and these can range from Rs.15000 to Rs.70000.

But what people fail to notice is that the lower the deductible, the higher will be the annual premium and vice versa. So it is better to raise the deductible to save money on the premium. You need to consult your agent before doing this and calculate your savings accordingly.

6. Credit Rating

This is something you need to improve if you plan on lowering the insurance amount. A driver’s record is very important for assessing insurance cost so make sure you have a good credit score.

GET THE MAHINDRA FIRST CHOICE ADVANTAGE! CHECK USED CARS IN YOUR CITY!

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