Driving can be dangerous, but with auto insurance, you’ll have less to worry about in the event of an accident. Not only will it protect your car, but other people’s property as well.
However, insurance companies can send their premiums surging depending on a litany of factors from your credit score to your driving habits, unless of course you work with a discount car insurance provider like Freeway Insurance. Here are some strategies to reduce your monthly car insurance policy.
It’s common for drivers to feel hesitant when they see a car insurance quote. The reality is that some people don’t factor in how much they drive, where they drive, or what type of car they have when considering price. If you only ever use your vehicle to commute, then you probably don’t need comprehensive coverage.
When you add collision coverage to your auto insurance policy, your rates increase because it provides additional protection against collisions with other vehicles or objects. Comprehensive vehicle insurance covers the cost of a stolen car or one that has been damaged by weather or vandalism.
If the value of your car is lower than your deductible and the amount you pay each year in premiums, it’s time to ditch that coverage. Decide if it makes sense to continue paying such a high price for an insurance policy that won’t give you the best rate if you have an accident. If you own an old car, it is probably wiser to save money in a “rainy day fund” than buy liability insurance that won’t cover your future expenses.
If you make improvements to your car or add new technology, you may need a more comprehensive insurance policy to protect yourself. But sometimes these safety enhancements can actually save you money on your premium. For instance, LoJack is an example of a product that may be used to prevent vehicle theft. Is LoJack lowering car insurance rates? The reality is that many automobile insurance premiums are reduced for customers who use LoJack, directly influencing overall insurance costs.
Insurers will want to see a certificate or other evidence that your automobile has a LoJack system. Some car insurance providers will apply the same discounts to additional active and passive alarms, as well as another anti-theft device. Insurance providers offer reduced auto insurance quotes through a price comparison tool, which allows you to save on LoJack or anti-theft discounts with new vehicles and even some older models.
Take Advantage of Discounts
Aside from anti-theft device discounts, there are many ways for drivers to save on their monthly premiums. The most commonly available discount is a safe driving discount–this rewards drivers who avoid filing claims as well as moving violations with a good driver discount. Car insurance companies usually base their rates off of the people included in the auto policy. Being a high-risk driver normally means having to pay higher premiums, but there are some ways younger and older drivers can score a discount. For young people, good grades often entitles them to a good student discount from their insurer. Older drivers, on the other hand, can get discounts by taking defensive driving courses.
Sometimes the greatest bargain is achieved by having numerous lines of insurance with a single provider. A package not only reduces rates, but it also covers everything from life insurance to homeowners’ coverage under one policy. Check to see whether your automobile insurance company offers any discounts that you may take advantage of. This can include your affiliation with a group or your line of employment. Be sure to check through your insurance quote for any rebates, and reach out to your agent if you have any questions.