How to Lower your Auto Insurance Premiums

Granted, auto insurance companies can make a kill from auto insurance premiums seeing as it is that they are in the business to make a profit, and a huge one at that. If you are not careful enough, you may end up paying outrageously high premiums when you could have paid much lower rates if only you took the time to do some little bit of research. The following are some great ways in which you can reduce your auto insurance premiums, ways that insurance companies will never let you know so they can continue fleecing you and fattening their bank accounts. 

Annual renewable policies – by buying an annual auto insurance policy, you will get a fixed premium rate for that whole year unlike when you buy for a 6-month period since the rate will change after every 6 months. What this means is that the rate you will pay for the first semi-annual premium will be different from what you will pay for the second semi-annual premium. Thus rather than saving, you will end up paying extra for the same benefits. 

‘Bulk buy discount’ – say you have two or more cars that you want insured. Under normal circumstances you will be expected to pay separately for each car’s premium. But did you know that you can save a considerable amount on the premium you pay for each subsequent car after the first one? How exactly? Talk to your insurance agent and they will advice you accordingly.

Car Safety devices – who would have ever thought that a security device would be more valuable beyond just securing a car against thieves? Rest assured it can reduce your insurance premiums as your insurer will find your car less susceptible to theft. 

Company affiliation – most auto insurers today will extend significant discounts for the simple reason of being affiliated with a certain company or organization. It could be a college sorority and fraternity, a credit union, or simply carrying a certain type of credit card. to be sure you could get a discount, confirm with your insurance policy service provider and request for a list of the organization and company affiliations they recognize.

Comprehensive storage coverage – are you planning to car pool for a significant period of time, or say you are leaving for vacation or changing locations for an extended period of time which you will not be using your car? Why don’t you opt for comprehensive storage for your vehicle during that time it will be parked, since no other type of coverage will be needed anyway? A parked car is less likely to get into an accident hence will not need liability coverage and stuff.

Mileage – be advised that the mileage your car covers each day has a direct impact on the premium rate you will pay because the mileage determines the class in which your vehicle belongs. Needless to mention, each class attracts a different premium rate.