4 Tips For Keeping Your Car Insurance Low
Posted by admin at 29 October 2020, at 10 : 33 AM
Buying a new car is undoubtedly a genuinely thrilling experience: the first time you drive it off a forecourt, you are opening up a new world of possibilities and beginning the journey anew. For months to come, you will be discovering new aspects of the vehicle you have bought, and marveling at how much in-car technology has come on in the few years since you last went through this experience. However, few things puncture this enthusiasm quite as quickly as having to renew your insurance – especially if your choice of car sees your premiums rise.
By taking the right decisions, however, it is possible to cut into those premiums and ensure your driving experience isn’t harshly impacted by greater expense. It’s a simple matter of knowing what you can do to keep the costs down.
Be prepared to raise your deductible
The rule of thumb with car insurance is that the lower you make the deductible, the higher the premiums will be. It makes sense for some drivers to keep their deductible low – after all nobody wants to be struck with a big bill when they need to make a claim. However, if you are someone who doesn’t file a claim for low-value repairs, a higher deductible might make sense. With lower monthly premiums, you can even put some of the saved money in a high-interest account. This can leave you better off, even if you need to claim for damages with a high deductible.
Drive safely, and challenge tickets
Insurance costs, and their premiums, are a reflection of how trustworthy the insurance company deems you to be on the road. So if you’re well-behaved behind the wheel and don’t have accidents, you should see lower premiums. If you find yourself being pursued for a driving offense, be prepared to challenge; these tips on how to fight a speeding ticket can ensure that you don’t end up with increased premiums due to an offense you didn’t commit.
Improve your credit rating
Yes, you might well ask what your credit rating has to do with your ability to drive, but the evidence is all there – insurance companies charge lower premiums to drivers with a better credit rating. It may be because they feel that a good credit rating denotes responsibility in all things, or it may simply be that they want to ensure they get more money up front – whatever it may be, it’s worth managing your credit rating to ensure lower costs.
Buy a smaller car
It may go against some instincts, but buying a smaller car has long-range benefits. They’re typically greener, which will usually do you a favor or two with the underwriters. They’re safer (usually because they are slower and less conducive to aggressive driving). And buying a car with a smaller engine represents what insurers consider to be a more responsible frame of mind, something they reward with lower costs.
Some of the above tips are common sense, while others may not be to your preference, but if you want lower car insurance costs, following these tips will help you to pay less.