Monday, 12 March 2012

How To Save Money On Car Insurance

A high-end sports car like a Porsche 911 will cost you more in
insurance premiums than a less-expensive vehicle. 
As insurance brokers, one of the most commonly asked questions is: how can I save money on car insurance? The unfortunate reality is that most people are probably paying more than they should, and could be saving hundreds (if not more) of dollars a year by doing a few simple things. As this is one of the most pressing questions for insurance customers, we’ve decided to compile a list of the best ways to save money on your car insurance.

1. Shop around
The best way to save money on your insurance is to shop around as much as you can. In today’s Internet age, it’s incredibly easy to get quotes from many different insurance providers. You can also save yourself a great deal of time and money by talking with an insurance broker. Brokers have years of experience in the industry and can find you the best insurance policy from a wide range of companies.

2. Drive responsibly
Your insurance rates are determined primarily on the basis of your driving experience. The more tickets and accidents you have, the more you will be paying on your insurance premiums. Remember that every time you speed or commit a traffic violation, you’re not only paying for the price of the ticket, you’re also going to pay for an increase in your insurance rates.

3. Choose your car wisely
Insurance rates are calculated largely on the basis of the type of car you drive. This is especially important when it comes to Collision Insurance, since the replacement or repair cost of your vehicle will vary greatly depending on the vehicle. For example, a Porsche 911 will cost you more to insure than a Nissan Sentra, simply because the Porsche is pricier to repair and replace. Your Comprehensive Insurance rates, which insure you against theft, will also vary depending on your car. For instance, Honda Civics have a bad track record of being thief-magnets, and so Comprehensive rates for them will be considerably higher than other vehicles.

4. Consider an alarm system
While the initial cost may be steep, an alarm system in your vehicle will decrease your Comprehensive Insurance rates. Over time, the reduced costs of your premiums will more than pay for the cost of your system. If you have any questions about how much you can save, and what kind of car alarm system to install, talk to an insurance broker.  

5. Take a driving course
If you haven’t already taken a driving course, consider doing so as it may drop your insurance rates considerably. This is especially true if you are a new driver with little road experience. The best way to show your insurance company that you’re serious about driving and want to know how to drive safely is to take a driving course. The skills you learn there may also save you from becoming involved in an accident in the future!

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