It is a well-known fact that car insurance rates are determined by different, equally-important factors. These aspects control insurance quotes and eventually, premiums. Experts say that knowing how to use these factors to car owner’s advantage can help them push insurance rates down to more affordable and manageable levels.
First, policyholders have to know what factors they cannot control or alter. For example, a car owner’s age and age group can never be changed. Naturally, so is gender. The driver’ place of residence is also one factor that cannot be changed easily. Insurance providers also consider the policyholder’s location to assess any risks to the vehicles and the car owners themselves. Areas with high incidence of automobile crimes can mean more expensive insurance. Lastly, the motorist’s driving history will always remain the same and include prior records. Any traffic violations and convictions can spell more costly insurance for several years.
However, there are factors that policyholders can have total or partial control of. Experts agree that car owners can actually implement changes to improve their chances of getting lower rates when they renew their insurance.
Policyholders can save money by shopping around for insurance. Tough competitions among insurance companies are resulting in lower rates across the U.S. As a result, more and more providers are slashing premiums and offering considerable discounts to lure in more customers. Some insurers are also providing their clients discounts for being loyal, in hopes to encourage them to stay.
Policyholders can also choose to use cars that are least expensive to insure. According to specialists, some vehicle models are more costly to insure because of safety issues and their price tags. The repair and replacement costs also lead to higher insurance rates. To avoid this, experts recommend buying cars that providers consider least costly to insure.
Vehicles should also be stored in proper garages and drives, instead of being left on the side of the street. Leaving cars outside exposes them to more danger like falling tree branches, vandalism, and floods. All of these can make insurance rates balloon.
Car owners can also opt to take defensive driving classes to refresh their driving skills. Participating in these programs can actually reduce the risk of getting in accidents, thus resulting in lower premiums. Of course, policyholders have to join courses that are accredited by their insurance companies. Car owners can actually save up to 10 percent through these classes.