Car insurance is a vital part of contemporary life, as it’s almost impossible to own a vehicle responsibly unless you have insurance to back you up in the event of an unfortunate accident. Nonetheless, millions of car owners around the world continue to find themselves stiffed when it comes to their insurance payments, which is a shame given that a number of common tips can help you save some serious cash over the long-term.
Here’s how to save on car insurance, and what you’ll need to know if you want to avoid making the same foolish mistakes that have fooled other rookies in the past.
Check if you’re overpaying
The first step towards saving money on car insurance is to check if you’re overpaying, which millions of people are unknowingly doing year after year simply because they’re too ignorant or lazy to know how to do otherwise. Rather than hoping that you were given a fair rate, you need to shop around to determine what kind of price you should be paying on a regular basis.
Knowing how to check if you’re overpaying for insurance is only the first step on the road towards saving yourself some money, however. Renegotiating your rate isn’t an easy feat for most people, after all, and some insurance customers like to avoid confrontation entirely, which means they rule out speaking to their insurer directly. It’s a simple matter of fact that you may need to get your hands dirty to pinch some extra pennies, though, so be prepared to argue for a fair price if you find out that your current insurance plan is charging you far more than it should be for what you’re getting in return.
There are also some long-term strategies that should be taken into consideration well before you purchase insurance in the first place. Knowing which car you want to buy, for instance, helps you determine potential insurance rates ahead of time so you can calculate how much it will cost in the long run to keep your new ride safe and secure. You may think that you’re sold on a particular make and model of one vehicle, but by comparing its insurance rate with that of another you may quickly find yourself changing to a new, more affordable ride.
Newer, fancier cars carry higher premiums with them, so consider switching to a more affordable option if the long-term insurance arrangement you’re considering is too steep. Similarly, your status as a driver will impact your overall insurance agreement; older, married drivers are easier to insure and won’t have to pay as many expensive premiums as younger, inexperienced drivers who don’t have as long a history. This is also true in Canada where, if you’re looking for car insurance in Ontario, you can find a good deal if you are older and more experienced.
Stick to the same insurer
One of the most common ways to save money on your car insurance is to stick to the same insurer when covering your house and vehicle. Many insurers give you a break when you double up, as they’re trying to incentivize you to purchase as much coverage as possible in one go. Similarly, most insurers reward long-time customers, so pay extra attention to who you’re trusting to insure you, as your long-term commitment to that company could pay off in a few years’ time when you earn a lower rate.
Finally, knowing how much car insurance you need in the first place is one of the only ways to avoid overpaying for features you don’t end up needing later on down the line. Certain lifestyles and professions require more insurance than others, for instance, so don’t think you can apply a one-size-fits-all model to purchasing car insurance and get away with your wallet intact. Similarly, certain areas of the country have more inclement weather conditions and worse infrastructure, so you’ll want to factor in the local area you’ll be spending the most time in when driving before making a final insurance decision.
Don’t be a fool who drives around without car insurance – skimping out on insurance altogether is the worst possible way to save money, as it will end up costing you everything in the event of a serious crash. Stick to the above tips and inform yourself well ahead of time before you purchase your next vehicle, and you’ll soon be saving money on car insurance.