More Tips on Buying Auto Insurance
There’s a fundamental rule when you’re looking to make a deal: never assume the first price you’re offered is the last. No matter who you’re setting out to deal with, whether it’s the biggest or smallest fish in the pond, you can always get a price reduction if you know what to ask for.
When it comes to auto insurance policies, the first price you’re likely to see is one of the free online quotes. But, when you got that quote did you get all the discounts? Auto insurance is as much about the car as it is about you. If your car has all the latest safety features built in, your premium will come down fast. Look for daytime running lights, antilock braking systems, air bags and antitheft devices - if it’s an expensive car, think about having a tracking system installed and always try to park it somewhere more secure off the road at night.
Always ask your insurance company before you buy a car. This is not just about the sticker price (although this will be important when you come to decide whether you want collision and comprehensive cover), but about the cost of repairs. Replacement parts may have to be imported which adds time and expense - remember you may be renting an alternate car while your’s is off the road. Then there are those statistics. Some cars have a better safety record than others.
Did you remember the deductibles? This is a kind of self-insurance where you agree to pay the first however many dollars of a claim. The greater the burden you agree to take, the higher the discount. But watch out. If you have a bad run of accidents, you have to pay this amount every time there is a claim. So don’t just ask yourself whether you can afford to pay this as a one-time hit. Could you take two or three hits in a year?
Then there’s bundling. This is a simple matter of economics. The more premium dollars you give an insurer, the better the value you get. Every company will give you an additional discount if you place both auto and household policies. If you add in second cars and health cover as well, the savings can be significant.
