Auto insurance companies offer premium reductions, special insurance rates or discounts. These you should take advantage of to save even more on your auto insurance. Here are some of the premium reductions, special insurance rates or discounts that you can avail of.
a. Low mileage discounts
The shorter the distance you drive, the lesser your premiums will be. The average distance you drive annually is the basis for the calculation of your premium. How far you commute from and to work or school, whether for personal or business use, determines your vehicle use and your daily exposure to risks.
b. Good student discounts
Students who are currently enrolled and have good grades receive a discount on auto insurance. Many insurance companies offer “Good Student” discounts for young drivers who maintain a “B” (or 3.0) or above “B” average. Discounts are also offered to those family members who are attending school away from home.
c. Multi-car discounts
You can reduce your premium by insuring two or more vehicles in one policy.
d. Other policies
You can also reduce your premium by availing of other policies with the same company. Other policies may include homeowners insurance policy or life insurance policy. Various insurance companies offer discounts if you have your home insured with the same company that insures your vehicle.
e. The safe vehicle discount
Many insurance companies offer discounts for anti-theft devices installed on your vehicle, like alarms and anti-lock brakes, as well as various safety devices, such as airbags and factory-installed mechanical seatbelts. Installing these devices can earn you discounts.
f. Age – Being at least 25 years old
Once a driver has turned the age of 25, auto insurance premiums tend to be lowered. This may be because the driver’s rates are calculated in a different driver class. Risk assessors have determined that those who are under the age of 25 are more prone to accidents due to immaturity and inexperience at driving. The risk of at-fault accidents decreases when a person turns 25 as he or she is believed to become more responsible.
g. The good driver discount
Your insurance policy can be cancelled by your insurance company on your renewal if you got involved in an accident and/or you’re given traffic tickets. Discounts are given to drivers who have not had accidents and received tickets for 3-5 years. Discounts are also given to those who have completed a driver’s training course.
h. Avoiding installment fees
Most insurance companies charge service fees for installment payments. So instead of monthly, you can save on premium if you pay 6 months of your auto insurance premium in advance. Buying a 12-month policy can save you even more.
i. Prior insurance
Some insurance companies offer discounts to those who have been continuously insured for the last 6 months or more.
j. Good credit score
Usually, insurance companies adjust rates by judging your risk. Meaning, if you have a good credit score your rate can be lowered.
k. Car pooling and use of public transportation
Some insurance companies offer carpooling, as well as public transportation discounts. Logic says that the more you use car pooling and public transportation, the less you drive your vehicle. And the less you drive, the less likely you are to have an accident.
About the Author: Fred Gagnon is an expert on providing tips and information on jewelries. He owns a wide collection of stunning, glamorous and stylish jewelries. To learn more about jewelries, accessories, precious metals and gemstones, visit Peridot Rings and Princess Cut Engagement Rings.
Leave a comment