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How
to Get Cheaper Car Insurance
You are required to have auto insurance if
you wish to drive a car. But getting good insurance at a good
rate can be a daunting task. There are many factors that affect
the insurance rate you pay. Some factors are controllable
and can be altered. However, there are also some factors that
are beyond us, such as – age, gender and marital status.
Other factors that affect your auto insurance rates
that you can change are:
• Where do you live? The
bigger the city, the higher the premium. Live in the suburb
or the country-side and lower you rate. This is mainly because
of the chances of a collision or a stolen car in the place
you live.
• Drive carefully. The more driving violations
you have, the more you pay for insurance.
• Same goes for the number of claims you
make towards your insurer, due to collisions. Not only do
you save in premiums but you can get a discount on your
policy if you are a safe driver.
• The car you drive is the biggest
factor. If you drive a sports car rather than a mini van,
be prepared to dig a little deeper in your pocket. Also,
your insurance premium would reduce if you bought an American
car as opposed to a German or Japanese car, as foreign cars
cost more to repair.
• Where do you drive? It makes a
huge difference if you drive on highways or only in the
city. The further you have to travel to work the more premium
you will have to shell out.
• Driving Experience. If you have
been driving for years you will be charged low. However,
if you’re a teen who is going to start driving –
be prepared to pay a higher premium. That said, there are
ways to cut corners. Ensure that your teen gets good grades
and attends a driving school.
• Credit rating. The insurance companies
your credit rating into account. And like any other lender,
it charges you higher rates if you have poor or no credit
history.
• Compare and shop. Find out about
the various insurers and the plans that they offer. Ask
for a quote from them and find out what discounts they offer.
• How high is your deductible? The
deductible is the amount you are required to pay before
filing of the claim. If you have a good driving record you
can consider the risk and increase the deductible amount.
This would lower your monthly premiums. It can make a difference
of hundreds and thousands dollars over a period of time.
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