Having car insurance is mandatory. There is no way around it. You have to have it, and if you don’t, you are breaking the law and will eventually have to pay fines. Or worse, be responsible financially for an accident down the road that could seriously ruin your life.
Car insurance is not cheap, especially if you have received tickets or been in any accidents within the last few years. However, do not think that you are at the mercy of the car insurance industry. There are tips you can follow that could net you a decent deal on your insurance premium. If you keep these strategies in mind, then a better car Insurance is just a few clicks away.
We all love to have a brand new car in our driveway. There is something about that new car smell that will overwhelm your common sense and have you spending money that you do not actually have. So not only could you be saddled with a large car payment every month, but your insurance will be more expensive because it is a totally new car. Does this mean that you should never buy a car new? No, it just means that if you do, be prepared to pay for a slightly higher insurance premium since you will definitely need full coverage.
Basic insurance coverage for a vehicle is just having liability insurance. Liability insurance is the least amount of insurance you can have legally on your vehicle. The benefit is that it could save you fifty percent off of the full coverage rate. However, if there ever is an accident where you are at fault, liability will only cover the cost of the other person’s medical injuries and the repairs to their vehicle. It will reimburse you absolutely nothing for your own medical bills or repairs to your own vehicle. So there is a risk that is involved. If you still owe money on your vehicle, you will usually be made to have full coverage. If your vehicle is paid off, has a couple hundred thousand miles on it, and you have quality health insurance, just having liability insurance could be a good idea.
Multiple Vehicle Discount
Most car insurance agencies offer a discount if you have multiple vehicles insured through them. On average, the discount is usually ten percent. If your car insurance agency does not offer that, then ask them about it. Some agencies are more transparent than others. Sometimes it will take demanding the discount before you receive it.
If you are a public servant, such as a teacher or fireman or police officer, there is a chance that you can receive the occupation discount. The insurance agency may offer you a discount because you are such a well respected member of the community. They feel they are at less risk with insuring you. The same can be said for those that have certain college degrees. A masters or a doctorate can actually save you some money on your car insurance. Which is good, since you are bound to have a student loan to pay off as well!
Good Driving Record
If your car insurance agency does not offer a good driving record discount, then it is time to switch car insurance agencies. After all, they will raise your premiums if you receive a ticket or are involved in an accident. It is only fair that they also offer you a discount if you haven’t been in an accident or received a ticket for many years.