How To Reduce Your Car Insurance Excess

Friday, March 12th, 2010 at 10:58 pm

In this economy everyone is wondering how they can save money and lower their bills. The cost of owning a car is comparable to owning a home with the high payments, large fuel costs, and the extremely high car insurance premiums that we pay. You can refinance your car loan to obtain a lower interest rate to save on the payments, purchasing a vehicle with better gas mileage will save on fuel costs, and there are several options that will save you money on your insurance premiums.

Shopping around for the best quotes is the first possible way to lower car insurance costs for your vehicle. You can find insurance brokers that will do the comparing for you but you can just as easily shop on your own and could even save money by avoiding broker fees.

The deductible you decide on could change your policy dramatically. The deductible is the amount you pay out of pocket in the event of an accident or theft. By having a large deductible you save on the premium and the lower the deductible is the more your premium will go up.

What type of car you drive will affect your rate as well. Many cars are high risk for theft or accidents and the car insurance premiums are much higher. If the cars value is high you will expect it be more to insure it. You also have to know if your car is considered a sports car you will pay more in premium costs.

It goes without saying that your driving record will have an effect on your overall policy price. Any major violations will greatly increase your premiums but even the minor ones will impact it poorly as well. Simple moving violations such as speeding or running a red light can increase your policy by several hundred dollars a year.

Safety and security features found on your vehicle can decrease your rates of the insurance policy. If your car is equipped with dual air bags, safety locks or an anti theft device you could save some serious cash in discounts from the insurance company.

When it is time to renew your policy do not just send them the money. Look over the policy to make sure no changes are needed and this is a good time to shop around for compared quotes. You may find that after having a policy in place for a year or so you will be offered lower rates from other companies to switch.

If it is possible combine any existing policies with one company. Many insurance companies will offer discounts for having more than one policy with them. Your mortgage insurance, renters insurance, boat or motorcycle insurance can all be carried through the same company in most cases and this will save you plenty in the long run on all of your policies.

Saving on car insurance can be done in many ways. If you shop around and find out the information needed about your driving record and your car you will be able to make the necessary changes that will save you hundreds.

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