A lot of people take their auto insurance cost for granted. In the current economic conditions, we are trying to make savings everywhere, even as cost effectiveness and value for money are becoming the most talked about phrases. In such a scenario, we shouldn’t really be taking any expense for granted and check if what we are paying is really worth the value. If you take a deeper look, you can earn discounts on your auto insurance too and thereby get better value for your money. Here are some of the factors that could earn you savings on your auto insurance premium.
Lower mileage
A lower mileage means that you will drive less and would be on the road less too. This means lower risk of accidents and lower chances of accident claims for the insurance provider. If you can use public transportation as much as possible or go for car pooling, you would drive less and therefore would always be eligible for lower premiums. In fact, you can sign up for pay as you drive schemes which charge premium based on the distance you drive in a year. Seniors and housewives who don’t need to commute to work every single day can also expect savings this way.
Combined insurance
You can surely expect a discount on your auto insurance if you can combine insurance policies. For example, if you already have a house or health insurance or another member in the family has auto insurance then you can go for combined insurance with the same provider thereby getting a discount.
Cashing in on driving record
If you don’t have a single claim for at least 3 years you are considered to be a very safe prospect for the insurance providers. More importantly, you will be able to get discounts for your impeccable driving record. Similarly absence of any traffic violations will also allow you to negotiate with the insurance providers for discounts on your auto insurance premiums. Therefore try to maintain a good driving record as you can always cash in at a later stage.
Good grades and good credit history
Auto insurance cost will go down if you have good grades at school as a student or if you have excellent credit history. Both of these are parameters that indicate that you are a matured and responsible person who is trustworthy and is hence less likely to get involved in accidents.
