Most of us own cars, and with a car comes an insurance policy. But did you know that most people are paying way too much auto insurance. just by following a few simple steps you can reduce you auto insurance payments by almost 50%!
For those of us who are struggling in this difficult economy, that can be a big savings. So what can you do to save this amount on your auto insurance?
Well first compare different car insurance providers quotes. Its not as hard as you may think. Often you can compare many different providers all from one site online. There can be a large variance in the quotes given by different providers so make sure you check.
Second, you need to ask for discounts. Agents will not always tell you what you are entitled to. This is because the more you save the less commission they make. So to find out what you are entitled you have to ask. Or better still do some research so that you know what you can claim as a discount. Any safety feature your car has can be discounted. Make sure you list all safety features.
Thirdly, make your excess as large as possible. This might sound a little odd. If you are in an accident you may say well, its better to have only a $500 excess rather than a $1,000 excess. That’s true, but did you know that statistics show you will save over the course of a lifetime thousands of dollars due to lower premiums even if you do have an accident.
That’s right, its actually cheaper for you to have a higher excess and pay a lower premium, even if you are involved in an accident. For example lets say the odds are that in ten years you will have an accident. Lets say the excess is $200, but to pay for the lower excess you are being charged $50 extra a year. Over ten years thats $5000 extra you pay if you dont opt for the higher excess of say $500. If you do opt for it, sure your excess is $300 higher but you have actually saved yourself $4700!
Lets assume you have three or four accidents in ten years. You do the math. You can still see a major savings by taking the higher excess.
So those are three simple steps to get the lowest cost auto insurance.
For those of us who are struggling in this difficult economy, that can be a big savings. So what can you do to save this amount on your auto insurance?
Well first compare different car insurance providers quotes. Its not as hard as you may think. Often you can compare many different providers all from one site online. There can be a large variance in the quotes given by different providers so make sure you check.
Second, you need to ask for discounts. Agents will not always tell you what you are entitled to. This is because the more you save the less commission they make. So to find out what you are entitled you have to ask. Or better still do some research so that you know what you can claim as a discount. Any safety feature your car has can be discounted. Make sure you list all safety features.
Thirdly, make your excess as large as possible. This might sound a little odd. If you are in an accident you may say well, its better to have only a $500 excess rather than a $1,000 excess. That’s true, but did you know that statistics show you will save over the course of a lifetime thousands of dollars due to lower premiums even if you do have an accident.
That’s right, its actually cheaper for you to have a higher excess and pay a lower premium, even if you are involved in an accident. For example lets say the odds are that in ten years you will have an accident. Lets say the excess is $200, but to pay for the lower excess you are being charged $50 extra a year. Over ten years thats $5000 extra you pay if you dont opt for the higher excess of say $500. If you do opt for it, sure your excess is $300 higher but you have actually saved yourself $4700!
Lets assume you have three or four accidents in ten years. You do the math. You can still see a major savings by taking the higher excess.
So those are three simple steps to get the lowest cost auto insurance.
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