Aug 7, 2012

Saving money on auto insurance




This writer knows from experience the hardship and the hassle when her daughter was involved in a near fatal collision and the first stop after the hospital, was the insurance companies who faced a $2 million lawsuit to pay for hospitalization, a head injury team, specialists, plastic surgeons, and the like. I thanked God that I was loaded with cover and at least did not have to worry about money. Insurance is the number one need for any individual driving or owning a car. Below are Top 7 tips to save on auto insurance

1                     Do all your insurance business with one company. As a business owner you will probably have many policies and whether for auto insurance, commercial insurance or any other kind of insurance have them under one roof so that you become used to your agent and can establish a relationship with him to take care of your needs. Buy both your home and auto insurance from the same company as you will get a discount, sometimes up to 10%.


2                     Ask your secretary to go online and get five or more quotes from different insurance companies so you can compare costs and get all the cover you need for an affordable price. When the agent you are working with knows that you are comparing costs he will in all likelihood scour the policy terms and conditions for a better rate. Have all your policies under one umbrella.


3                     Follow the rules of the road and do not speed. Speeding tickets can pile up and jack up your premiums. This is not something people really take into consideration.


4                     Increase your deductible on the vehicle as this can reduce your insurance premium by 5% to 10%.


5                     Park your vehicle in the areas assigned for the public and do not park in front of hydrants, loading zones and blocking emergency slots as you will be ticketed for them.


6                     If you are strapped for money purchase a car that costs less and save on insurance premiums.


7                     If you have separate policies for the different types of insurance buy them all from the same company as you will get a discount for giving them all the business and save on your insurance premiums.


More tips and auto insurance advice

Take advantage of low mileage discounts which are being paid to motorists who drive a lower than average number of miles a year. These low mileage discounts also apply to drivers who car pool to work.

Establish a solid credit history as insurers are using credit information these days to price auto insurance policies and it will help in reducing insurance costs.

Speak to your agent about reductions for drivers who get insurance through a group plan from their employees through special professional and business groups. It goes without saying that you should review your policies at each renewal to see if you are eligible for other discounts.


Things to guard against

·                     Do not lie to an insurance agent by withholding important insurance information no matter how tempted you are to do so. If there is a child that is driving the car, disclose this or you will be heavily fined for the infraction and will be charged.
·                     Do not drive without insurance. It is not only illegal in most jurisdictions you will be fined and will sweat under the increased insurance costs. You will have to pay out of your own pocket for any injuries and damages you have caused.
·                     Do not deal with a fly-by-night outfit or agent that does not know his job and only seems interested in collecting premiums. Work with an agent that is innovative and wants to get you the best coverage at the best price.
·                     If your son or daughter is a new driver and have just bought his or her first car, a good thing to install is something called Telematics, a black box insurance policy that requires the driver to have a GPS device installed to track how he or she is driving the vehicle. This is great not only because it helps with premiums but also your son or daughter will be aware of the device and drive carefully.
·                      



 


No comments: