Purchasing car insurance is something that you should never skimp on at any given time. Not only does it help you when faced with an accident, but it is also a must have in most states and countries. No wonder you need to get the most ideal auto insurance coverage for your needs when you buy a car.
You don’t have to take a toll on your finances since there are numerous ways to save on your auto insurance policy. In this simple guide, we will take you through some of the things you should do to enjoy money-saving benefits on your auto insurance policy.
Car Insurance Discounts
It is possible to save hundreds of dollars each year on your coverage by taking advantage of car insurance discounts. One of the best ways to go about this is by bundling discounts. Bundling simply means having multiple policies, such as home and car insurance, with the same company.
Most car insurance companies offer multi-policy discounts that give between 5% and 25% discount. If you have more than one car on your auto policy, that may lead to savings, too. Typically, multi-vehicle discounts range from 8% to 25%.
Usage-Based Insurance
Another remarkable way to enjoy money-saving benefits on your auto insurance policy is by taking part in a usage-based insurance (UBI) program. These programs collect data from your car on speed, acceleration, miles driven, braking, when you drive and if you use your phone while driving.
Your insurer takes that telematics data and gauges your driving habits. You stand to save on your car insurance based on the results, but generally, you need to be a really good driver to get a discounts. Some insurance companies will even increase your rates if you score poorly, so be sure to ask if your rates could potentially increase before joining a UBI program.
Saving money on your car insurance coverage is no longer a hassle as was the case a few years ago. Now more than ever, there are numerous things you can do to lower your premiums. Remember to compare multiple insurance quotes to save yourself the hassle.