Statistics show that car insurance policies are one of the most popular insurance policies all over the world. In most countries, having a car insurance is mandatory by law. If you are not willing to pay high amounts for your car insurance, you better completely read this blog post and take neccessary cautions that will reduce your car insurance premium.
1- Have a Clean Driving History
Your driving history is the main factor that increases your car insurance premium. If you have been involved in several accidents till now,you will probably face an high amount of car insurance premium compared to someone with a clean driving history. In this case, the only thing you can do is to start driving carefully get lower premiums as years pass.
2- Don’t Inform the Insurance Company About Minor Accidents
Let’s suppose you were involved in a very minor accident and your car has a quite little damage. In that case, you can pay for the repair of that damage on your own without letting the insurance company learn about the accident. This will save you when you are renewing your insurance policy. Because, while calculating car insurance premiums, almost all insurance companies give a “no claim discount” if you haven’t got involved in an accident.
This option may sound a little odd, because you are paying for your car insurance policy for your claims but beware that the no claim discount has a high possibility of being higher that the amount you will pay for the minor damage of your car.
3 – Choose Your Car Wisely
Insurance companies charge some car models with higher insurance premiums. I.e, if you are driving an expensive car, unfortunately you are going to pay more for your car insurance policy. Unless you do not prefer otherwise, I strongly recommend you to drive fairly-priced cars in order to avoid high amounts of insurance costs.
4 – Search for Cheaper Insurance Companies
The insurance company that you are working with may be overpriced. In order to avoid paying more that you should pay for your insurance policy, you should shop for different companies. I reccomend you to do this every time that you are renewing your car insurance policy as most insurance companies make discounts at times.
5 – Get an Insurance Quote
This step is actually a tailer of the fourth step. You may see it as a waste of time to get a car insurance quote online, but it does not take as much time as you think and it really helps in terms of receiving a lower amount of insurance quote. So, you better get some insurance quotes before you buy an insurance policy. In order to understand what insurance quote is and how it works, you can read our articles linked below;
6 – Choose Where You Live Carefully
One other factor that increases your car insurance premium is the low quality of your neighbourhood. If you are living in an over-crowded neighbourhood or somewhere, where the chances of getting your car stolen, then I am sorry. Your car insurance premium will go up by some notable increase. Of course, you can not change your neighbourhood just for cost-cutting purposes related to your car insurance, but it would be wise of you to move to a neighborhood that is as safe as you can afford financially.
This is all I can state about decreasing your car insurance premiums. If you have tried any other ways or if you wonder if a cost-cutting idea that you are thinking of would work or not, comment below to let me and your fellow readers give you opinions about it.