A lot of vehicle owners are guilty of blindly renewing their auto insurance policies when their old insurance expires. You fail to understand that if you had a good year, meaning, a year without accidents and claims you already deserve a better rate and policy compared to what you are signing for. Here are 5 questions you must ask before you renew the auto insurance policy.
Is this the best I can get for the premium I pay?
This is the most important question worth asking every now and then. The auto insurance industry is quite dynamic and with hundreds of companies and lot of competition, you need to shop around to find out more about the rates on offer. Many times you might not really get a lower premium policy but you might get added coverage for the same premium. This is effectively better value for your money. Shopping around is hence ideal and should start preferably a month before your auto insurance expires.
Am I getting the discounts I deserve?
There are several discounts that car owners are entitled to depending on various parameters. You need to find out what discounts you can claim and reduce your premium further. This needs negotiation with several auto insurance companies and agents. There is discount for good track record, lower mileage, better credit history, better grades, driving certifications and car safety mechanisms. There are many other parameters too which you should be aware of.
Can I club this with another insurance policy?
It is quite possible that you have another vehicle insurance in your family, health insurance or house insurance. If you can club multiple insurance policies with the same provider, you become a more preferred client who will get better rates than others. You should definitely make use of this feature offered by many insurance providers.
Do I need all the features I pay for?
Some people are guilty of overdoing it when they take up every single type of coverage that is available. If you don’t drive out of the city for example, you needn’t pay for roadside assistance and other such things. So revisit what you are paying for and see if there is anything that you don’t really need.
Will I drive a lot?
If your expected mileage is low, you can go for the pay as you drive schemes which will set your premium based on the mileage.
