Although auto insurance is expensive, especially in a place like California, there are a number of ways where you can save around 40% on your auto insurance premiums by just following a few important tips. If you follow these tips you can easily apply the discounts on your policy.
Auto insurance in California is one of the most expensive when compared to the rest of the nation. California is expensive in many areas, but auto insurance is one area where you can save a considerable sum by opting for some changes in the insurance cover. The best way to shop for insurance is to get online quotes. Then do comparisons before you decide to purchase the insurance cover.
In the state of California as per state laws you will need to purchase liability cover. Under this coverage the policy will cover the damages caused to another vehicle or property if you were the driver at fault at the time of the accident. Even the medical costs are covered in case the driver and the passengers in the car are injured. You will also compensate for pain and suffering.
The minimum coverage that is required by the state is $15,000 for injury to one person in the vehicle and $30,000 if all passengers are injured in the other vehicle, and $50,000 in damages to the vehicle.
If you wish to lower the rates, you will have to raise the deductible. If you raise the deductible to $1,000 per accident froma deductible of $200 per accident, you can significantly reduce the premiums by over 40%.
Safe driving has its advantages. If you maintain a good driving record you can bring down the premium costs and avail discounts. You may also get enrolled in a certified drivers course and get your points removed from the license. This will also help in lowering the cost of auto insurance premiums.
When you purchase a policy you must ensure that you shop for discounts. Shop online and get different quotes from various auto insurance providers and choose the one that suits your requirements.
If you are part of a group or an organization you can ask for a discount in your premium. For example, if you have taken group insurance through your organization or place of work you will be eligible for huge discounts on your auto insurance premium. However, if you have to obtain the discounts you will have to ask for it.
When you drop the comprehensive cover on your policy and opt only for liability cover you can save around 20% on your premium costs. However, you will not be able to do this if you have purchased your car through a bank loan or through a credit union. When you purchase a vehicle on finance they will want comprehensive coverage in order to cut down on their risk factor and safeguard their investment.
Combining your home, health, and auto insurance policies and taking them from the same insurance provider will help get some huge discounts where you can save another 10%. These are ways to bring down the costs even if you are in California.
