Auto insurance premiums spike every year. Your premium mainly relies on your kind of car, your age, and what discount you can find. Fortunately, there are several ways you can stop the raising premium cost, or even lower the premium altogether.
1. Stay with a clean license. Insurance companies are very serious about driving violations. They can significantly add to your car insurance premium. Maintain a clean driving record and prove to the insurers yo0u are a responsible and safe driver.
2. No unnecessary insured drivers. Do you have a young driver in your auto insurance policy who is no longer using the automobile? If so, remove them from the policy to reduce your premium.
3. Purchase insurance from the web. A great deal of insurance businesses offer discounts for online application, since it’s all automated and costs less to sort and process applications. The usual discount is around 5%.
4. Browse! Every insurance company possesses different factors to compute your premium. Shop around and find yourself large savings on your auto insurance premium.
5. Pay the premium all at once. Doing so averts high-cost interest charges. Usually these are tacked on if you choose paying by installments. Far too often, insurance companies charge as much as they can, typically around 15% APR. If you cannot pay in full, then seek out a small loan–in the end, you’d still save cash. (Even loans can be done online.)
6. Raise the voluntary excess. This is what you pay in a claim. By raising your excess, your car insurance company should bring down your premium.
7. Slow down on the annual mileage. The average insurance business quotes you at 12,000 miles annually. Calculate the amount of miles you drive; if it’s probably going to be less than that, you might receive a discount. Make sure you’re honest about this number, as the insurance company may check the vehicle’s service history to affirm the mileage.
8. Equip anti-theft devices. Your vehicle being stolen, having parts removed, or having anything taken out of it dramatically affect your insurance premium. Get an immobilizer or alarm installed to your car. This will give you a small discount for your insurance premium, as well as providing a little more peace of mind.
9. Take a driving safety course. Completing an advanced driver’s exam shows the insurer that you have above average skill in driving. Your insurance company will lower your premium if they are convinced you are less likely to be the catalyst in a fender-bender.
10. Don’t overestimate your vehicle’s value. When applying for an insurance quote, stating additional value for your car is pointless–it will do nothing except increase your premium. If your car is filched, for example, all you will receive is the real market value of your car.