There are lots of factors that affect your auto insurance, and you can't easily manage them, such as your job, age, area, and your years of driving experience.
If you're determined to save for your car insurance, however, there are a few things you can consider to lower the cost of your premium. Read on for some useful tips for lowering the cost of your auto insurance.
Pick your Car Carefully
Based on the type of car you're driving, you can make a significant difference to your specific car insurance cost. Some cars are more expensive to replace or repair compared to others, while some models are viewed as high risk since they're often involved in claims. Most insurers classify car models into different categories depending on risk involved such that the sports models with bigger engines are often in higher, costlier insurance groups, while smaller cars with improved safety features are found in the more affordable insurance groups, you can also save money on car tax, ask the question how much will it cost to tax my car. For those planning for a new car, it's wiser to purchase one in a low insurance category to assist you to save.
Keep Your Car Safe and Use It Wisely
Most insurers will provide you with a more affordable premium when you do all you can to keep your car safe. If you can, ensure your car is in a secure driveway or garage overnight, instead of the road where vandals and thieves can easily access. You can also lower your premium even further by putting up additional security features like a tracker or alarm.
Additionally, car insurance premiums tend to be more affordable to those who plan to drive fewer miles since the more often you're on the road driving, the more likely you are to get involved in an accident. Many people approximate their mileage when receiving a car insurance quote; therefore, make sure you're providing a precise estimation. Don't get tempted to lie about your mileage to receive cheaper car insurance since when you have to make a claim, and it appears that you have unmatching mileage, your insurer may fail to pay.
Choose the Right Cover
There are three levels of cover that most insurers offer: third party, fire and theft; third party; and comprehensive. With third party cover, it's the lowest level of cover that's legally needed to drive in most places. These policies usually only cover you for damage caused to other people's property and cars, so you can't claim for any of your car's damage. Third-party, fire and theft comprise this plus additional insurance for fire damage and theft. When it comes to comprehensive insurance, it usually covers your car's damage in the case of an accident or another claim.
All these three levels of cover come with a different cost. Perhaps unexpectedly, however, the third party isn't always the most affordable choice. Though it might be the most affordable option for older, low-value cars, most providers are usually able to offer the best deals when it comes to comprehensive cover.
Shop Around
Shopping around and comparing different insurers is one of the best ways you could save on your auto insurance. Even if you're fully satisfied with your current provider, there's a likelihood you'll save some cash on your renewal cost when you compare quotes from other insurers. There are also alternatives to the big-name insurers, for example, a specialist provider might be able to offer you a better deal in case you have a modified car, or you're in a high-risk group.
Consider a Black Box
Another effective way to save on your auto insurance is through the black box policies, which are also known as pay as you drive policies or telematics. As part of your black box policy, your provider will often install a tiny device in your vehicle or perhaps request you to download a particular smartphone app that tracks your driving. As a result, it encourages safer driving, as well as making the vehicle easier to trace when it's stolen. Once you have a black box policy, your provider will determine your driving behavior and adjust your premium frequently depending on the periods you drive, as well as the quality of your driving.
Pay Upfront
Paying upfront for your auto insurance may seem like a big cut to your bank balance at first. However, it can save you a substantial amount over the year. When you pay for your auto insurance in monthly payments, you're actually taking out a loan from the provider with added interest rates.
