Motoring Fundamentals: How to Keep Your Car Insurance Premiums Low

Car insurance is not only necessary for protecting you and your car; it is the law. There are several options to choose from including full coverage and basic liability insurance, but you should always try to keep your premiums low no matter the type of coverage you have. Here are some strategies you can take advantage of.

Seek Out Multi-Car Discounts

One metric that many families do not take into account if they own multiple cars is the amount of insurance they pay per car. Getting insurance for single vehicles can be quite expensive, especially if the family owns a mix of SUVs and sedans.

Families can save a lot of money by opting for multi-car insurance policies. Insurance companies will often offer these bulk discounts because they want to insure as many cars as possible. Even when they lose a little money on the discount, they still make up for it by insuring an extra vehicle or vehicles that they otherwise would not have.

Ask your insurance provider the terms and conditions of getting a multi-car discount if you own multiple vehicles or if there are multiple drivers in your household. Many insurance providers make this option available only if the drivers are related by blood or marriage However, some may agree to do so for two unrelated people as long as they have stellar driving records.

Drive Safely

We live in a world where there are a lot of distractions when driving. These distractions have increased accidents and traffic violations, two factors that insurance companies take into account when determining your premiums. Drivers with high negative incident rates are often seen as a liability by insurance companies because they are more likely to make claims. Because of this, their premiums are usually higher, all other factors held equal.

Downsize Your Car(s)

Buying an SUV can be a thrilling prospect, but it can have a negative impact on your insurance premiums. These vehicles are typically more expensive to repair or replace, and thus insurance companies adjust your insurance premiums accordingly if you own one. Insuring a smaller and likely safer commuter car saves you money on insurance as well as other costs like fuel. Insurance providers will give you information on how much it costs to insure different types of vehicles if you ask for it. Check out these rates before deciding on a car to buy or when downsizing.

Shop Around for New Insurance

If your insurance policy is about to lapse, this is a great time to start thinking about getting new insurance. This is especially great for people whose premiums have increased over the years and who are looking to lower them. The agreed timetable for shopping around among drivers is about every one or two years to see if something cheaper is out there.

Obtaining quotes from competing insurance providers and comparing their terms should help you land a better, cheaper deal. The downside is that you can spend a lot of time collecting these quotes and checking their terms out. This is where insurance comparison platforms come in.

If you are shopping for car insurance in Northern Ireland, you can get and compare quotes from numerous insurance providers using platforms like Compare NI. Their platform is free, easy to use and not affiliated with any insurance companies to ensure you get the latest, fairest quotes.

Improve Your Credit Score

Many people know that insurance companies take their driving record into account when deciding on premiums; however, what they do not know is that they also use your credit score when doing so. This is sometimes a controversial topic, but insurance companies say they have seen a correlation between credit scores and insurance claims.

A higher credit score means a person is careful and responsible with their personal finances. Such a person is also likely to be responsible on the road and thus less likely to file an insurance claim. Fewer accidents and claims lead to lower insurance premiums, so try to improve your credit score for lower premiums.

Talk To Your Agent or Broker

There are lots of factors that go into determining your car insurance premium beyond those we have discussed above. These factors can vary from one company to the next, and there is no way of knowing about them unless someone tells you about them. Talk to your agent or broker to see if there are additional discounts available and if you are eligible for them. You might just end up with a discount pricing that you never knew existed.

While the price of car insurance will continue increasing over the years, there are still things you can do to ensure it remains affordable for you. Take advantage of as many of the factors discussed above as possible to keep your insurance premiums low.