What are some of the best ways to save money on car insurance? That’s what we’re going to find out. Welcome to Car Help Corner, where we help you. The consumer master the process of car buying and car ownership. Car insurance, unfortunately, is just one of those things that a lot of us are stuck with, and it can be very, very expensive. But the good news is that it doesn’t have to be because there are a lot of ways that you could potentially save yourself a lot of money on your car insurance policy. In this video, I’m going to go through nine of the top tips and tricks that you’d need to know about if you want to save as much money as possible on your car insurance. Let’s get right into it, starting with number nine.
USE ONE COMPANY
Sticking with One Insurance Company Now, this might seem like a bit of an obvious one, but I’m often surprised by how many of my clients actually have different insurance policies from different insurance companies within the same household. And that’s a big mistake.Every car insurance has different rates, and if you have two different car insurance companies that you’re dealing with within the same household, that could mean that you’re paying too much money with one of those companies or potentially both of those companies.
SHOP AROUND AND TRY DIFFERENT COMPANIES
This is something that you absolutely need to shop around to make sure that you’re paying the lowest rate and getting the best policy. Most households that need insurance are most likely going to need more than just car insurance. You’re probably also going to need house insurance, tenant insurance, or possibly some other kind as well. And the best way that you can save money on all of these different insurance policies is by bundling them all together.
BUNDLE YOUR INSURANCE POLICIES
Insurance companies often give you a discount when you bundle different types of insurance together, and they also can give you a discount if you have multiple cars or multiple vehicles under the same plan as well. So take advantage of the bundling options that are available to you and make sure that you combine everything into just one plan.
Let’s move on to tip number seven, which is taking advantage of group rates. Now, if you’re a member of a professional association, whether it’s through your job or your post secondary education, then you need to be taking advantage of group rate insurance discounts. Many insurance companies do offer a discount if you’re a member of a professional association, and it could be as high as 10% to 20%, depending on the car insurance company. It’s a really easy way to save a little bit of money, and it’s one that you need to take advantage of. Moving on to tip number six.
COMBINE DRIVERS ON ONE PLAN
Combining different Drivers onto one Policy Now, if you have multiple drivers living within the same household, it makes no sense for each of them to have separate insurance policies. Instead, you want to combine them together and have primary and secondary drivers on the same car insurance policy. This is especially a good way to save money if you’re a new or inexperienced driver or a young driver that doesn’t have much of a driving record for these types of drivers, car insurance can be incredibly expensive, and one of the best ways to save money is by being a secondary driver on the insurance policy of the household.
So if your parents already have an insurance plan, make sure to hop on that one and don’t even think about getting your own car insurance. Now let’s say you don’t do a whole lot of driving, then you might want to consider using tip number five, which is going with a pay as you go insurance policy.
PAY AS YOU GO
Pay as you go. Insurance policies are relatively new in many areas, but they’re a great way to save money if you do very low mileage driving, especially those who drive less than 5000 or 10,000 miles per year because you only have to pay for the amount of driving you do and no more. So it does save you a lot of money.
If you’re not sure how much driving you do, it’s a good idea to monitor your driving habits and track how much mileage you’re putting on your car every year. If you don’t do a lot of driving by the end of the year, then think about going with the pay as you go plan the next time you need to renew your insurance policy, because it could save you a lot of money. Moving on to tip number four. Winter tire discounts.
Now, this is one that mostly only applies to colder climates in certain areas where car insurance companies are known to offer discounts for drivers that put winter tires on their car.
The reason why this is offered by a lot of insurance companies is because winter tires make driving a whole lot safer in the wintertime, reducing the likelihood of accidents. And of course, saving insurance companies a lot of money. So it’s in their best interests to get their policyholders to have winter tires on their car because it’s going to save not only your money, but it’s also going to save them a lot of money. Winter tire discounts can be as much as 10%, depending on the car insurance company that you go with. So make sure you enquire whether one is available.
And if it is, make sure to put winter tires on your car in the wintertime. Moving on to tip number three. Customizing your insurance coverage.
CUSTOMIZE YOUR COVERAGE
Now, I sort of touched on this one already a little bit, but what I mean by customizing your insurance policy is just not going with a blanket insurance policy that’s offered by the insurance company. Instead, you want to customize your coverage so that you’re getting the right coverage for your needs and potentially saving yourself a lot of money.
Many car insurance companies will just offer you a simple cookie cutter policy basically the same thing that they’re going to offer to everybody else, which makes things a lot easier for them. But it’s not necessarily giving you what you need. You need to make sure that you’re not only getting a good price on your car insurance, but also that you’re getting proper coverage that gives you everything that you need so that you’re properly protected just in case something happens. Now, if you’re not sure how to customize your insurance policy the right way, then the best thing to do is take advantage of tip number two, which is to use an insurance broker.
If you’re not sure how to take advantage of some of the tips in this video, then hiring an insurance broker is the best move, because not only is it their job to shop around and find you the lowest possible car insurance premiums, they also need to make sure that you have a proper policy that has all of the coverage that you need and what works for you.
Because insurance brokers don’t work directly for the insurance companies. And instead of underwriters, they have the ability to shop around and find you the best possible plan for your needs and one that’s also going to save you money. So next time you need car insurance, make sure to consider using an insurance broker. And finally, let’s move on to tip number one, which is just being a careful driver.
HAVE A CLEAN DRIVING RECORD
Now, this one might seem pretty obvious, but the reality is that a poor driving record is the number one way that you’re going to pay a fortune on your car insurance.
So if you want to save money and make sure that you’re not paying a lot, you need to make sure that you have a clean driving record. Don’t get into any accidents and don’t get any speeding tickets, because all of these things are going to dramatically increase the amount of money you pay. If you already have a really bad driving record, then you need to make sure that you’re doing absolutely everything possible to make sure that you don’t get any more tickets or accidents, because these are the fastest ways to increase your car insurance.
Car insurance rates are dependent on a whole lot of different factors, including your driving experience, how long you’ve been driving for and what your driving record is like, the type of car you’re driving and where you’re located on top of many other things that are outside of your control. But the good thing is that there’s a lot of things you could start doing right away that could help bring down your car insurance, including many of the things on this list, or even just shopping around across different car insurance companies and finding one that’s willing to offer you a good rate. If you’re not able to do that, though, make sure to go to a professional like a broker who can help do that for you.