19 May 5 Ways To Get Cheap Car Insurance Quotes
Car insurance is one of those expenses that you hate paying for, but it can end up being a lifesaver, even with a lower coverage amount or a high deductible. Worldwide, 1.3 million individuals die in car accidents a year, with an additional 20-50 million becoming injured or disabled. This shows that there is a relatively high probability of being involved in a crash, whether minor or serious.
Statistics show that younger people tend to get into the most accidents– individuals between 15-44 get into over half of all accidents– thus their insurance rates are higher. Fortunately, there are many ways to reduce insurance rates, for both young and old individuals.
This article will share five 5 ways to get cheap car insurance quotes.
Experiment with Different Profession Names
Something that may seem odd, and perhaps even counterintuitive, is the fact that different professions draw different car insurance rates. For example, in the United Kingdom it has been found that listing oneself as a “chef” leads to a R1,820.49 cheaper rate on average than deeming oneself to be “kitchen staff,” according to GoCompare.com.
This is not simply an outlier; other pricing oddities also exist. “Music teachers” have found their rates to be R1,597.58 more on average than “teachers”; “office managers” pay more on average than “office administrators”; and “construction workers” pay more than “builders.”
The lesson from all of this is that one should check the rates for similar professions under different names. A name can make all the difference. In addition, never list yourself as being “unemployed” if you are a full-time parent or retired. Individuals in such situations have found that they could save almost R5,572.94.
Adding A More Experienced Driver to the Policy
While it is illegal– and unethical– to pretend that another driver is the primary driver of your car, adding a more experienced driver to the policy as a secondary driver can help reduce rates. This is particularly helpful for drivers with little experience or a spotty driving record.
Make sure you get the person’s permission to be added to the policy first. As alluded to, only add an experienced driver with a clean driving license and decent no-claims history to your insurance; otherwise, you could run into the inverse effect.
Paying Up Front
It is almost always cheaper to pay your car insurance all at one time than it is to spread it out into installments. The obvious reason why this is the case has to do with the time value of money: a rand or pound today, is worth more than a rand in a few months or a year. Insurance companies can invest the entire premium for a longer period of time, which allows them to give you a discount.
Searching around for and switching car insurance three weeks before your renewal date, rather than on the day, has been found to save you an average of R5,201.41. This is especially true for younger drivers.
Make sure you shop and compare rather than just accept your auto-renewal rate. You will not save unless you do this.
Cut Out the Middleman
Insurance rate comparison sites make money when you use them to choose from your current insurer to a presumably cheaper one. However, there is a way to claim much of this fee yourself, cutting out the middleman.
For example, some sites will offer you cash back when you switch through them. This is yet another way to save money on car insurance.
This list is by no means exhaustive; there are yet more ways to save on car insurance. In addition to what has been mentioned, living a specific area, your driving record, and the car you drive play a big part in your rate. For example, driving an expensive car, a car with a lot of horsepower, or a vehicle that is expensive to repair can jack up insurance rates. Same goes for living in a busy area.
Also, modification of liability, medical, and medical coverage can reduce rates. Usually, only liability is required.
Ultimately, car insurance, as with most types of insurance, is a complex type of product. Do your due research.