How to Save on Car Insurance

Insurance is necessary, and expensive. Fortunately, there are many ways you can save on insurance premiums. If you own more than one vehicle, if you carry home or life insurance, the simplest way to save on your insurance costs is purchase all your policies from the same company. Putting all your policies together under the same company is called bundling. Companies, understandably, offer substantial discounts on insurance when you purchase more than one policy. It’s also much easier to manage your bundled policies. You only need to see one agent in case of a claim, and you only need to pay one bill.

A second easy way to save money on auto insurance is to choose a higher deductible. Moving up to the next deductible usually saves you a lot of money. There is just one catch: You must be able to pay your deductible in case of an accident, damage, or theft.

Get quotes from more than one qualified insurance provider. They may offer you a better deal on your car insurance premiums once they find out you are checking with the competition.

And if you are a woman, a student, a senior citizen, a member of the armed service, a member of AARP, or over 25, you also get price breaks on car insurance. If your insurer does not offer a discount for your group, you may want to consider coverage with another insurer who does.

Another way to save money on your car insurance is to take a basic or defensive driving course. You must prove that you took and passed the course in order to receive a discount on your insurance premiums. Many qualified insurance providers offer discounts for successfully completing these driving courses because it shows that you are serious about driving safely and responsibly.

Keep in mind that where you live impacts your car insurance rates. Drivers who live in urban areas will pay more than drivers who live in rural areas. Drivers who live in high risk areas will also pay more for car insurance than drivers who live in areas considered less of a risk. This is another reason why you want to obtain more than one car insurance quote. Different providers look at and define risk differently. What may be considered high risk to one provider might be considered safe to another provider.

If you own a sports car, racing car, or customized car, you might consider trading it in. Anything “special” about a car makes it more expensive to replace, and therefore more expensive to insure. But if you trade in (or trade down) for a vehicle that is not as expensive to replace, it won’t be as expensive to insure, either. See your agent for details.

Finally, ask your provider if there are any discounts they can offer. Many providers have their own car insurance discount programs that can help you save money. Regardless of your car insurance needs, contact a qualified insurance provider. They will be able to help you find the right coverage for your car.

Tom Martens is the content syndication coordinator for Carinsurancesa.co.za. South Arica?s leading car insurance portal.