Common belief tells us that high risk drivers can’t save. This mentality will never change as long as insurance companies control information provided to us. This however does not help customers much. Internet has revolutionized the way we think and the quantity of information available to us. There are various options open to high risk drivers to save on insurance premiums, here are a few of the best ways to drop your premium today.
Who qualify as high risk?
People with bad driving records, people in the age groups of 16-25 and 55 and above, people with bad credit scores, people with exotic or high powered sports cars, people with highly modified cars just to name a few. Insurance companies categorize customers to analyze the risk they pose to their profitability. People who statistically are more likely to make a claim are categorized as high risk. These isn’t always true, many sports car owners drive in a sedate manner and obey traffic rules, however there are exceptions which provide insurance companies with statistics based on which they make these stereotypes.
Focusing on the obvious
Shop for quotes
The first quote you get isn’t necessarily the best, and as statistics prove, it never is! Approach multiple companies requesting quotes, get at least 10 different quotes, so you can judge which company suits you best. The trick here is persistence; don’t give up if you get turned down by one or two companies.
Look for quotes online. You can apply for up to five quotes at a time at no extra charge and get the results in a tabulated form for easy comparison of cost and cover. Settle for not the lowest premiums, but for the highest level of coverage available at a price that suits your budget. This can prove beneficial in case of an accident. Insurance companies are probably right when they classify a person as high risk. However, you should know how to protect your interests. Adequate extent of cover can be very beneficial for you. Saving a few hundred dollars now can result in you having to shell out a few thousand dollars on repairs.
The not so obvious
Approach insurance companies who specifically insure high risk drivers
They are more open to providing you with insurance at affordable rates without a large bearing on your current financial health. Since they understand your situation and needs, premiums are calculated keeping in mind all factors related to you.
The last thing you need is a bad driving record. Any mistake you make can and will be on your permanent record for about 5 years. If you have a past offence that doesn’t mean that the damage is irreparable, if you start now, you can have a clean record in a couple of years. A quick search at the DMV can help you find out your record.
Try and keep your credit rating up
A good credit rating can not only help you with auto insurance, but any transaction you have with a financial institution.
Many auto insurance companies, specifically ones that cater to high risk cases like you provide a host of discounts. Installation of safety features can get you hefty discounts, installation of an anti theft system decreases the risk of your car being stolen. Installation of ABS brakes makes your car safer during high speed braking and while maneuvering sharp turns in addition to keeping you premiums low.