Cutting Car Insurance Corners The Smart Way
You do not know whether to be happy or sad because car insurance industry is showing growth in a stagnant economy. Consumers always have to bear the final brunt of economy. Producers, manufacturers and service providers are consumers too when they exercise their purchasing power. Difference is their high level of power!
They may not give a second thought to car insurance costs rising by more than 15 per cent over last year but you need to. You had better cut your car insurance costs if you believe predictions.
1. Shop around
Opting for competitive prices over loyalty could be a smart move. Use comparison sites to find cheapest deal. Check out how much your next bill changes from renewal quotes, which must now include last year’s premium.
2. Think about how you use your car
We do not need to point this out. Car use is what insurance is all about. Get a lower mileage cap and do not forget to deselect commuting options if you are no longer taking it to work.
3. Cut out any extras
Service providers drive up profits by making customers spend on extras. They are not compulsory and rarely free. Keep what you need, remove extras.
4. Increase your excess
Volunteer to increase excess to lower payments. You can do this if you do not have to prove coming into or saving money through some financial transaction. But in case of claim, you do have to shell out that higher excess!
5. Think about your named drivers
Think before you add someone to your policy. Young, inexperienced will push up premiums. Instead of keeping some drivers on policy continuously, consider temporary addition. An experienced, lower risk person is reasonable to add.
6. Pay up front
This may not be convenient for everyone. It is one of the surest way to save maximum on car insurance costs though. Paying up front saves you fees and charges and gets you one or two months free.
7. Think about your job
Think smart words. Job descriptions matter. There is no lying about what you do. Accuracy can prevent from being lumped in high risk category.
8. Consider a black box
Telematics is used more commonly now. Insurers get exact digital facts and figures they can safely rely on. Young drivers benefit for learning and changing their driving habits. Car insurance carriers prefer customers use Telematics with some offering a discounts just to sign on a black box add-on. Great for driving safely and sensibly too!