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    Saving money on car insurance – 5 things you should know

    By Adam |16th Mar 2018
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    Car insurance is something that is critical to you driving an automobile. In fact, if your car doesn’t have the minimum auto insurance coverage, it is illegal to drive it on the roads. The penalties may extend to even losing your license. And not to mention the repercussions of getting into an accident without insurance coverages – at worst case, you might be looking at criminal charges. This article will help you choose the right auto insurance company for your needs.

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    Auto insurance and liability coverage exist to protect you and everyone else on the road. There are several types of auto insurance. They basically differ in the amount of coverage offered. Comprehensive insurance can include fire, vandalism, theft, and even weather damage.

    Here are a few tips to help save you a bundle on auto insurance, while at the same time deciding on the adequate amount of coverage for your needs.

    1. Choose the right car

    It helps to check the insurance costs of the car you’re going to buy – new or used. Some vehicles may be more expensive to insure owing to certain attributes of their manufacture. Another important factor is price – the more expensive a car is, the more it costs to cover the insurance. Then again, you can also add features to your car which reduces risks and helps bring down your insurance premiums further.

    2. Don’t settle early

    You do a lot of shopping around when it comes to your car; you should also be finicky when it comes to your auto insurance. There are several insurance providers who are willing to negotiate an effective price, and you should definitely take advantage of this. Get quotes from different companies and also keep in mind that price isn’t the only factor. Ask around about the insurance company you’ve selected to find out how they are in the long term.

    3. Increase your deductibles

    A deductible is an amount you pay up before your insurance policy takes effect. By increasing your deductible amount, you can reduce the cost of your insurance premiums by about 30 percent in some cases. You need to make sure that the deductible amount is something that you can handle before you fix it.

    4. Spend less on older cars

    As the cars get older, make sure that you downgrade their premiums. This is because you might end up spending more on the car than they are worth which is not an optimal insurance coverage strategy.

    5. A good credit record

    If you’ve been maintaining a good credit record a lot of insurance companies are willing to offer you discounts on your policies. There is research that links people’s credit record to fewer insurance claims. To get a good credit score, make sure that you pay your bills on time and don't use more credit than you can repay.

    Conclusion

    These are a few ways through which you can reduce your spending on auto insurance while still being adequately protected. As you can see, it is not that difficult to cut down on insurance costs – all you need to do is to pay a little attention, and you’re done!

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