Whether you drive the newest model luxury car or a preloved Kia, most drivers wish they could pay less for car insurance. And because so many different factors determine what you’ll pay for insurance, you’ll find that gathering quotes brings up varying premium amounts; one insurer might offer insurance for what seems like a steal, while others will quote a hefty amount.
With this, it’s never wise to opt for the cheapest insurance policy around because what seems like a pocket-friendly deal might later be a problem when the time comes to claim.
So, how can you effectively lower your insurance without compromising cover?
Get An Extended Warranty
While an extended warranty can lower your insurance costs, this is dependent on a few factors. You’ll need to check your insurer’s policy and inquire about discounts available for this matter.
But even if you can’t lower your premiums with an extended warranty, you will boost resale value and be able to afford the costs of major services and significant engine part repairs while you’ll also have access to value-added benefits like roadside assistance and more. Using these benefits instead of your insurance benefits means you’ll claim less, ultimately dropping your premiums.
Protect My Car costs are pretty pocket friendly as well, so investing in a warranty won’t set you off budget much.
Increase Your Deductible
The deductible is the amount you pay to the insurance company when you make a claim against your policy. If you increase this amount, you’ll automatically reduce your monthly premiums significantly.
Choose The Right Level Of Cover
There are six types of car insurance cover; liability cover, collision cover, comprehensive cover, medical payments coverage, personal injury cover, and uninsured/underinsured motorist cover.
Being overinsured is one of the biggest mistakes drivers make that can see them paying a small fortune in premiums each month. As a result, it’s crucial to determine what level of cover you need before purchasing insurance.
As mentioned, one insurance company might quote you a relatively cheap premium, while another might quote double. As a result, comparing deals before buying a policy is the best way to spend as little as possible on insurance.
Compare deals with top-rated insurers to ensure you won’t compromise cover when sifting through quotes to find the most affordable deal.
Reduce Your Risk Factor On Paper
Your insurance premiums are primarily determined by your risk factor on paper; if you seem like a risk to the insurance company due to several fines, multiple collisions, a history of reckless driving, and tend to claim a lot from your insurance policy, your premiums will be high.
Be sure to claim only when absolutely necessary. Moreover, be a safe driver and avoid speeding and driving under the influence. Next, park your vehicle in a secure covered location overnight and install a tracking device. All these small efforts will significantly reduce your risk to the insurer, and your premiums will drop as a direct result.