Insuring your family can be expensive, but it is something that you must do to make sure you protect your financial and personal security. Among the policies that most households carry is auto insurance, and every driver under your roof will need a policy. However, you might wonder how you are going to fit coverage into your budget. After all, it can be expensive to insure multiple people.
Finding affordable car insurance will take a little attention, but it is not at all impossible. By working with your insurance agent, you can research and compare multiple policy options that each offer their own pricing points. That way, you can choose the one that offers you the best protection at the best value.
There are many ways you can make your auto insurance portfolio more affordable for all members in your family. So, the next time you are on the market for coverage, ask your BluCanopy agent about the financial benefits of taking the following steps.
1. Buy a Multi-Driver or Multi-Vehicle Policy
Most families who live in the same household qualify for a multi-vehicle auto policy. This coverage insures all the drivers and vehicles registered at your address under the same coverage. Therefore, you will only have one policy and one premium to worry about managing. Additionally, this coverage will likely be cheaper overall than the cost of buying separate policies for separate vehicles.
2. Bundle Your Auto Policy
Insurance companies like to reward customer loyalty. In many cases, they offer you a discount if you buy multiple policies from them. Therefore, by buying your auto insurance and another policy (homeowners, life, renters) from the same insurer, you might qualify for a policy discount.
Additionally, policy bundles offer other benefits. Because you buy from the same insurer, you will usually pay all your premiums at the same time each month. Therefore, you will not have to worry about juggling multiple payments.
Bundles also sometimes offer other benefits, such as joint deductibles for single incidents. Suppose, for example, that you bundle your homeowners & auto insurance. Unfortunately, a house fire occurs while you have the car parked in your garage. Therefore, both your dwelling and your vehicle sustain damage. Even though your homeowners and auto policies typically have separate deductibles, your bundle might allow you the choice of only paying one of these despite having to file against two policies.
3. Adjust Your Deductibles
There are other ways that your auto insurance deductibles can help you save money. Often, if you opt to take a higher deductible amount, you might see your premiums decrease.
A deductible is the cost of a claim that you agree to pay yourself. So, if you have a $500 collision deductible, you will pay for $500 worth of your vehicle’s repairs, while your insurance will pay the rest of the cost. A policyholder with a $1,000 deductible will likewise pay the first $1,000 of their costs.
Therefore, if you choose to increase your deductible, you will shift a cost burden away from your insurer. Agreeing to pay for $1,000 worth of damage as opposed to $500 will cost your insurance carrier less money. As a result, they might offer you a lower premium.
Still, do not forget that you should never carry a deductible you cannot afford just to save money. Any claim cost that is less than the deductible will receive no help from your insurer.
4. Ask About Payment & Renewal Discounts
Insurers base insurance premiums on a policyholder’s risk rating. Among the factors that influence your risk rating is your reliability at keeping and paying for your coverage. If you have a history of keeping auto insurance and paying on time, then you are a better client to invest in from the insurer’s standpoint. Therefore, they will often award discounts to customers who want to make it easier on themselves to keep their coverage active.
Some of the discounts related to your policy enrollment and eligibility that your insurer might offer include:
- Automatic Payment (EFT) Discounts
- Early Enrollment Discounts
- Automatic Renewal Discounts
- Paperless Billing Discounts
- Paid-In-Full Discounts
Each of these options can help you better manage your payment schedule and your policy term. Overall, it could make you a better insurance customer and therefore help you save on your rates.
5. Learn About Operating Discounts
Your insurer might also offer various discounts depending on the amount of safety you have backing you up on the road. Drivers who have secure vehicles and observe the rules of the road are the lowest risks to insurers.
Often, drivers who have no accident claims on their auto policy will pay the most affordable costs for their coverage. Many insurers apply a zero-claims discount for as long as this rule holds true. Some even allow accident forgiveness, so if you have only one accident, you will not pay more for your coverage.
Additionally, if you receive traffic tickets, you might be able to qualify for a policy discount if you complete a safe driving course. This safe driving course will help you re-learn essential driving skills. If you can prove that you pass the test, then you might be able to have the charge dismissed and see little to no increase on your auto policy rates.
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