Connect with us

Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website. .

Finance

How to Save on Auto Insurance

How to Save on Auto Insurance

Auto insurance may seem like a burden – both of one’s time and one’s pocket – but is a necessity. Many consumers do not give adequate attention to buying auto insurance, if they do at all. However, careful selection of the insurance provider can go a long way in saving money.

Broaden your Options

You should always look around[1] when it comes to auto insurance. With a plethora of providers in the market, along with intense competition, you may be surprised to see the large variation in premiums that companies charge for the same make and model.

Consumers can target companies that sell through their own agents, companies that sell through independent agents, and companies that sell directly to customers for quotes. It is also important to note that cheapest does not necessarily mean best.

Increase your deductible

When buying auto insurance, there is a mandatory deductible that is charged to all customers. Deductible[2] is the amount of damage which the customer would pay for himself post which he can claim the insured amount to the tune of the damages. This mandatory deductible is usually a small amount. However, customers have a choice to increase this deductible. By doing so, they can decrease their insurance premium.

Given that a small voluntary increase in the deductible can take care of minor damages to the vehicle, not raising it is tantamount to buying insurance that one does not need.

Maintain a Good Credit History

While a good credit score is essential in securing a loan, it can help in reducing insurance premiums as well. Apart from banks and financial institutions, insurance companies also use credit information to provide a quote for auto insurance. This is so because some studies have shown that consumers who maintain a good credit history tend to make fewer claims than those who have a poor credit score. The potential of making lesser claims than others leads to companies quoting a lower amount for the same insurance cover than they would for others.

Car Features can Impact Insurance Premium

Not only can one’s credit and claim history impact the insurance premium, the vehicle in question can also have a bearing. A car which has a higher safety rating will require a lower premium than others. Thus, when buying either a new or used car, it is important to consider options (in the same vehicle segment) which are deemed to be safer if one intends to pay lower auto insurance than otherwise.

Make Use of Discounts

There are certain discounts[3] that one can make use of in order to reduce the outgoing auto insurance premium. For instance, if there is an anti-theft device installed in the vehicle, insurers tend to ask for a lower premium than otherwise. There are also discounts on being a member of automobile associations and also if one belong to a certain profession that is considered ‘safe.’ Some insurers may also offer a no-claims bonus.

Keep a check on Add-on Covers

While getting a [4] for auto insurance, a provider may ask you to add covers to your policy like accident insurance, road side assistance, engine protection, and protection for electrical and non-electrical accessories, apart from others. While adding a few of these covers may make sense, too many add-ons will just keep adding to the premium amount. Thus, choose only those add-ons that may make sense to you to reduce premiums.

[1] https://www.iii.org/article/how-can-i-save-money-auto-insurance

[2] https://www.cnbc.com/2017/04/22/five-ways-to-save-more-on-car-insurance.html

[3] https://www.thepennyhoarder.com/life/ways-to-save-money-on-your-car-insurance/

[4] https://www.kbb.com/car-advice/articles/10-ways-to-save-money-on-auto-insurance/

Global Banking & Finance Review

 

Why waste money on news and opinions when you can access them for free?

Take advantage of our newsletter subscription and stay informed on the go!


By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review │ Banking │ Finance │ Technology. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email. Emails are serviced by Constant Contact

Recent Post