In order to drive legally on the roads, drivers need to acquire a minimum form of car insurance. However, there are many people that don’t buy insurance because they think is too expensive. In order to lower the costs of car insurance, drivers should follow the next tips:
6 Tips for LA drivers to Lowers Insurance Premiums
1. Pay in advance for the whole policy
Drivers should consider making one payment for the whole policy in order to save money. Insurance companies add extra monthly charges and administration fees to those drivers that pay monthly.
Policyholders can expect to save between 5% to 10% of the whole policy when they pay the full sum upfront. Some insurance companies are more generous and offer discounts that can be as large as 20%.
2. Bundle multiple policies
Policyholders should talk with their insurance company if they have multiple belongings to insure. Combining multiple-vehicles policies with homeowner insurance at the same insurance company can be very beneficial for the policyholders.
Besides having to complete less paperwork and having to pay one monthly bill, policyholders can benefit from discounts that can be as large as 20% of the whole policy.
3. Select a higher deductible
Policyholders can pay less on their car insurance premiums if they select a higher deductible.
By selecting a higher deductible level, policyholders agree they will have to pay more money out of their pocket if they have to file for a claim.
4. Consider usage-based insurance
Usage-based insurance is getting more popular with each year that passes. Usually, a small telematic device is installed in the policyholder’s vehicle in order to monitor his driving habits.
Good driving habits will be rewarded by insurance companies with significant discounts.
5. Ask for different discounts
Drivers should check what discounts are offered by their insurance company. Insurance companies are notorious for offering a wide range of discounts.
The most common discounts offered are a good driver, good student discount, low-mileage discount, and safety devices discount.
6. Shop for a vehicle that is cheap to insure
If a policyholder is looking to purchase a new car to insure, he should consider several factors if they want cheap insurance. For example, cars that have high safety ratings are cheaper to insure.
Regularly, cars that are slightly used, but come equipped with several safety features are the cheapest to insure.