It seems that we are all looking to cut down our cost and increase our savings especially in these rough economic times. One area where you can cut costs is your insurance premium. Many people have found that by following some simple steps, they can save quite a bit on their premium and you too can benefit by reading the following points listed below:
1. Search and Compare Car Insurance Quotes
You should definitely shop around to find the best insurance premium. Many companies are lowering their prices to lure in additional customers and to beat their completion. The best option is to search online and use websites that specialize in comparing car insurance quotes to enable you to find the best car insurance premium.
2. Adjust Your Coverage
If you happen to be driving an inexpensive automobile that has a value of few hundred dollars, you may want to adjust your coverage from comprehensive down to just liability. With this adjustment you have to cover any damages to your car in case of an accident. However, the money you save in a year by choosing this option will pay for the damages.
3. Increase Your Deductible
You can save on your car insurance premium by opting to increase your deductible. The deductible is what you agree to pay for damages before your insurer steps in to cover the rest. Every wise driver knows it is best to fix small dents and scratches using your own money instead of going through the insurance. The reason is that if you ask your provider to cover minor damages, your insurance premium will go up and you will end up paying more for your insurance than you would have paid for fixing the minor mishap.
4. Ask About Safety Discounts
Many insurance companies offer various discounts for safety features in your car such as anti theft devices as well as air bags and some other safety features. Be sure to inquire about these discount programs and inform your provider of all the safety features in your car.
5. Safe Driving Courses
Consider taking safe driving lessons to lower your insurance premium. Many insurance providers will lower your premium as they believe these courses make you a better driver and lower the likelihood of getting into accidents.
6. Cleared Violations
You may have had traffic violations in the last few years that had increased your insurance premium. If those violations have been cleared, make sure you contact your insurance and ask them to lower your coverage. Usually when insurance companies increase your coverage due to traffic violation, they do not lower it back down even when the violations have been cleared. Thus, it is up to you to follow up with your provider.
7. Bundle Insurance Policies
Many insurance companies will give you a discount on your premium if you buy all your insurance policies such as home, car, life, etc through the same provider. In fact many companies readily provide this incentive upfront to ensure that you select them as the single provider for all your insurance needs.
8. Tax Deduction
If you are using your car for business then a portion of your insurance is tax deductable. There is no deduction for personal use as you do not pay taxes on the insurance. However since your provider does pay taxes on the premium, and if you are using your car for business you can get claim that portion of your premium.
9. Select Your Car Carefully
The car insurance premium is higher for sport cars than it is for sedans. Thus if you in the market for buying a car and insurance premium is a concern, you should try to select vehicles that does not have a high insurance premium price tag.
10. Fix and Maintain Good Credit
Some insurance companies award you for your credit worthiness by lowering the insurance premium as they prefer clients that are sure to pay their premium every month and pay it on time. Thus, if you have a poor credit, you need to obtain a copy of your report and report inaccuracies and expired derogatory statements to the credit bureau so that you can improve your credit. Always pay your bills on time to maintain a clean credit history.
As you can see saving on your car insurance premium is not a difficult task and it can be accomplished by following some of the above instructions. Hope this will help you to save some money on your insurance premium and enjoy your savings.
