Insurance policies for vehicles can be taken out for varying durations such as 3, 6, 9, or 12 months. Staying with the same insurance is the path most taken, but it isn’t really the best. When an insurance company comes up with a policy which suits a customer like you better than your existing policy, they will not intimate you or suggest that you change. It is up to you to inspect the market for better offers each time the policy is due for renewal. With time a lot of things change, for example, your car costs less due to depreciation and shouldn’t be insured for the value it was when it was a new vehicle.
If you have changed or are about to change any of the following, it may be time to look for a new policy which could cost you less.
If you have installed a new anti theft system in your vehicle, or any other security feature, you will most likely qualify for a discount from your insurance company. Added security features such as ABS and airbags decrease the chances of you being hurt in an accident, while anti theft systems decrease the chances of your vehicle being stolen. Those fancy alloys you may have bought will not fetch you a discount, as they do not increase the safety of the car in any way. Such modifications will increase your premiums as they increase the total cost of the vehicle and also the likelihood of someone stealing it.
Except for vintage vehicles older vehicles are worth less every year. Newer cars with better features, more power and better safety hit the market ever so often; each time this happens the value of your car falls. If you have had the same insurance policy you got when you bought the car, its high time you looked for a new one. Your car has suffered depreciation and is no longer worth what it used to be, so it makes no sense insuring it for the same amount. In the event of a crash your insurance company will not pay you the sum assured, but an amount based on the current market value of your car.
You took out the insurance as a teenager
If you took out the policy as a teen ager, you most likely paid a high premium at that time as you were a high risk customer. That no doubt stopped with time, although now its time for you to use your spotlessly clean driver’s record to show that you are now a low risk customer to the insurance company. Many insurance companies reward customers with good drivers’ records with discounts, so don’t shy away from asking your company if you qualify.
It’s been a while since you have requested an auto insurance quote
In today’s dynamic world things are ever changing; there are un-doubted much better insurance policies you can choose from. Look around in the market, and request free quotes online. Head to a website which offers you multiple simultaneous quotes, you can request up to 5 quotes in a matter of a few minutes. Once you receive the quotes, compare them based on the premium amount and the cover provided; a cheaper policy may not always mean savings. There are cases where customers have saved hundreds of dollars on their insurance premiums per year by just changing their insurance company.