How to Save on Auto Insurance
Premiums
Wanna Save Big? Duh!
Unless you’re one of those people
who would rather spend money on
insurance premiums than pamper your
family with a Caribbean vacation or
buy your sweetie a diamond tennis
bracelet, then this article, while
not
guaranteed to amaze, amuse, and
astound, will at least enlighten and
(hopefully) delight you with ways to
save – big time – on your auto
insurance.
Fast and Flashy = Money, Honey
Driving that Dodge Viper might make
you look really cool to the
seventeen-year-old across the
street, but, hey, what’s it costing
you
(after those hideously high car
payments) in insurance? Also keep in
mind that how attractive your car is
to thieves ups your premiums
considerably as well. You can find
out which cars are crook-magnets at
the National Insurance Crime Bureau
(www.nicb.org). Another premium pumper-upper is an expensive car
with its accompanying expensive
repair
costs. Any car that costs mucho to
repair will also cost mucho to
insure, so if you’re a Cadillac
addict or other high-end auto
aficionado, remember -- you could be
saving up for that vacation
instead.
Search for the Savings
Shop around, shop around, shop
around. If you don’t shop around,
you
either have enough money that you
don’t need to be reading this, or
your
life is so fractured, and time is of
such a premium to you, that you
truly have greater priorities – like
getting your act together.
Car insurance rates vary so greatly
from one company to another that it
boggles the mind. If you don’t make
the effort and take the time to shop
around, you could be missing out on
hundreds of dollars in savings! One
word of caution, however: Don’t let
that amazing price blind your
reasoning ability. If it sounds too
good to be true, by all means, check
the company out with Standard &
Poors (www2.standardandpoors.com) to
make sure the company’s credit
rating is up to par and also pay a
visit
to your state’s insurance board Web
site (links can be found at
http://www.naic.org/state_contacts/sid_websites.htm)
to check out things
like complaint information,
licensing status, company history,
and other
pertinent information.
Go Discount Diving
With savings of 10% to 25%, you can
shave off quite a chunk of moolah
when you latch on to these types of
discounts:
Insure both your home and your car
with the same company. And don’t
forget the boat, the trailer, the
camper, or the ATV. I don’t think
bicycles, skateboards, or inline
skates are applicable, but you can
ask!
Just kidding.)
Take a defensive-driving class.
If you’re a teen driver or college
student, make good grades. Many
insurance companies reward high GPAs
with lower premiums.
Retire. Since you won’t be driving
as much, your insurer sees you as
less of a risk, especially if you
retire fairly young (i.e., can still
see, aren’t deaf, and don’t have
Alzheimer’s).
Look into group discounts from your
workplace, school, military group,
or any other large organization of
which you are a member.
Some companies offer a discount just
for staying with them longer than a
year. Look into it.
Install safety and anti-theft
devices on your car. It pleases the
insurance company if you’re doing
your part to keep your car from
getting stolen or to keep yourself
from getting killed or seriously
injured. They’ll reward you with
discounted premiums.
If your child has finally flown the
nest, let your insurer know.
Distances of 100 miles or more
between your child and your vehicle
can
many times save you money when your
insurer is convinced that
inexperienced, high-risk driver is
nowhere near the car they’re
insuring.
Re-think and Re-size Your Deductible
Saving anywhere from 15% to 40%
should have you thinking twice about
having a larger deductible. It’s an
increase-to-reduce thing that works
like this: up your deductible from
$200 to $500 and watch your savings
soar anywhere from 15% to 30%;
increase it to $1,000 and don’t be
shocked at a 40% discount in premium
payments!
These are just a few tips you can
utilize to put money in the bank for
that vacation, diamond jewelry, or
just to have a financial nest egg
growing instead of giving it to your
insurance company, but you can find
lots more ways to save by plugging
in the keywords “save on car
insurance” using your favorite
search engine. Sit back, relax, and
then
slap yourself on the forehead while
saying, “Now why didn’t I do this
before?”
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