Tips For Saving Money

By Author: Marcus Stalder
Total Articles: 491
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No matter what the official statistics say, the cold reality on Main Street is that the recession is still with us. Unemployment is only a count of the number of people claiming benefit. It's not a count of all the number of people out of work. For them and those on the bottom of the pay scales, the challenge is to find affordable insurance to keep driving. Here are a few tips to help in the search.

Shop around
Although there's a lack of real competition, there are still differences in the premium rates between the insurers, so it pays to shop around and get as many quotes as possible. Since the use of this site is free, you can get multiple quotes with different sets of choices, e.g. low or high deductibles, etc. Only when you can compare the terms on offer and the premium rates charged, can you find the best value for money. Even though some insurers offer loyalty discounts to keep your business, the majority also offer discounted rates to attract new business. You really can save money by changing insurers.

Buy the "right" vehicle
Before you buy, always find out how expensive the make and model is ...
... to insure. Some vehicles are more expensive, e.g. because they are too easy to steal or have a poor safety record in crash tests.

Go for a higher deductible
In effect, this is self-insurance, i.e. you are agreeing to pay the first slice of every claim out of your own pocket. So always make sure you have enough money available to pay. If you opt for the maximum $1,000, this can save up to 40% on the premium.

Think about what you need if you drive an older vehicle
If you own your vehicle outright and it's worth less than $1,000, you should abandon collision and comprehensive cover. Covering third party liability and your own medical expenses will be sufficient.

Bundle car and homeowners cover
Most insurers reduce the premium rates if you buy both your car and homeowners policies from the same company. You can only work out where the biggest saving are by shopping around and getting quotes for the different possibilities.

Low mileage and pay as you drive policies
If you only drive a small number of miles at off-peak times of the day, there are big discounts available. Some of the new pay as you drive policies offer up to 40% discounts if you fit monitoring technology in your vehicle to verify the number of miles and the times of day you drive.

Avoid accidents and tickets
Car insurance is all about the risk of an accident and you making a claim. If you consistently demonstrate you are a safe driver by never picking up a ticket and never making a claim, you will be rewarded by ever lower premium rates. As you get older, check out some of the defensive driving courses. Attending can produce further discounts.

Find out what other discounts are available
If you qualify because of the make and model you drive, the safety features installed or because of your job, the car insurance will grow cheaper. Ask insurers about discounts before you buy a policy.