Car insurance is necessary to protect you financially when behind the wheel. Whether you just have basic liability insurance or you have full auto coverage, it’s important to ensure that you’re getting the best deal possible.
Choosing the right coverage from the right company can save you a lot of money. Here’s how to do it.
Every state has certain minimum auto insurance requirements. Liability insurance is the basic coverage required, and you can choose the minimum amount to adhere to the requirements or buy a higher limit to protect yourself.
You could also choose to buy comprehensive, collision, underinsured, or uninsured insurance to enhance your cover.
Other coverages to consider include emergency roadside assistance and gap insurance, especially if your car is leased.
Choose A Deductible
The higher the deductible amount you choose, the lower your monthly premium will be. Remember that you will have to pay the deductible amount yourself, so ensure you provide for it.
Ideally, keep a small fund aside to cover the deductible amount and any expenses that go beyond your coverage limit.
Choose An Insurance Company
Do some research on the price, customer satisfaction, and claim records of several insurance companies. Ask whether they use your credit score to determine your premium rate.
If you haven’t bought a car, check how much the car costs to insure with the insurance companies you’re interested in.
Call And Ask
Once you have a shortlist of insurance providers, call them and ask who can give you the best deal. Keep your driver’s license and claim details handy when you call or ask your current insurance provider for a letter of claims experience.
Ask companies whether they offer discounts for low mileage, winter storage, education, occupation or association memberships, good driver discounts, telematics, green car, alarm or tracking device, retiree, and student or student away discounts.
Understand The Policy
Ensure that you understand how your car insurance policy works. Also, understand how it works for you. You should know how to get what you paid for.
Filing A Claim
We hope that you never need to file a car insurance claim. But learning all the details regarding the process can ensure that your claims process goes off smoothly should you ever need it.
There are plenty of tools available online that can help you understand what to do if you’re involved in a car accident.
Take Advantage Of Low Mileage Discounts
Some companies offer discounts to motorists who drive less than the average number of miles per year. Low mileage discounts can also apply to drivers who carpool to work.
Seek Out Other Discounts
There are other discounts that your insurer may offer to policyholders. For example, some companies offer discounts to those who’ve not had any accidents or moving violations during a specified period, or who have taken a defensive driving course.
If there is a young driver on your policy who is a good student, has taken a drivers education course or is away at college without a car, you may also qualify for a lower rate.