When we look for ways to cut our expenses, we often overlook one place where with a little effort we can save more than we would ever imagine: our car insurance premium. Our Blog is here to help people with this problem! Most of us just pay it and get on with life not realizing that there are ways to shop and compare and save money. Rates are not all the same everywhere and with every agency. There are steps you can take.
It is not, however, a wise idea to sacrifice sufficient coverage for a lower monthly premium. Many things influence automobile insurance premiums. It is helpful to have an awareness of what these influences are to find ways to lower your premium without lowering your coverage.
The deductible you pay has the largest influence on how much insurance is going to cost you. A deductible is simply the amount of money you will pay out of pocket before your insurance coverage kicks in and pays for the rest. If you are looking to save money with a high deductible, then you may end up paying quite a bit of money if you have to make a claim. Conversely, if you have a low deductible, your insurance premiums will be high.
The deductible part of insurance policy pricing is a bit of a balancing act. But other things play a role in the cost of your premium, some of which you can control. For example, many car insurance companies offer a discount to customers who install an anti-theft device, such as a car alarm. They also give a discount to customers who park their cars in a garage and not on the street. They realize that all of these things will help diminish the possibility of a claim.
Car insurance companies love customers who are responsible and dependable. Therefore, your premium will be lower if you have an excellent credit rating. It will also be lower if you have a clean driving record and you do not have any accidents. Keeping your record pristine will bode well for you when it comes to your car insurance expense.
Your age will also play a role in determining your car insurance rates. The very young and the very old pay higher premiums. Where you live also has an impact, as does the make, year and model of your car. If you drive an expensive, new sports car, and you’re a fairly new, young, male driver, your costs are going to be at the top of the scale. Insurance companies have determined that all of these things put you at a higher risk. A higher risk means a higher premium.
Every state in the country now requires that you have automobile coverage. Each state, however, has different mandatory requirements regarding the amount and type of coverage. It is very helpful to learn what your state’s requirements are, because in some states if you have an older car you can get away with minimum coverage. You may only be required to have medical liability.
To compare car insurance rates simply go online to one of the dozens of websites available on the web and enter in the information required about yourself and your car. That information is then passed along to insurance companies who will compete for your business. When you get the information back, you can simply go through it to find who offers the best coverage at the most favorable rates.