7 Ways To Avoid Being Ripped Off By Your Car Insurer

Car insurance is often the first ‘luxury’ we drop. Here’s why you should keep it and simply work on making it more affordable.
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Published: Saturday, October 29th 2016
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Buying the car you always wanted is a dream come to true. But, when it comes to affording the car insurance monthly payments, we may start backpedalling just a little. In times of inflation, when the rise of living costs results in making hard financial choices, car insurance is usually the first expense people drop. What people don't realise is that by taking on cheap car insurance, or any insurance, the cost of an accident or emergency may far outweigh the current monthly expense. Accident Chacklist

Here Are 7 Ways To Make Your Car Insurance More Affordable

1. Adjust Your Premium

It is important to review your car insurance policy every so often, as depreciation takes its toll. Weigh up the cost of cancelling your policy against the amount you are insured for.

2. Opt For a Higher Excess

When you opt for a higher excess, you are promising to cover a certain amount of the costs, should you get into an accident. This higher excess and lower premium may take the heat off you for a couple months and can be adjusted at any time.

3. Compare Your Premium

If you have stuck with your same insurance premium since inception, COMPARE. It is always a great idea to make sure you are paying what you should for your motor insurance, as well as what fits into your budget. It can never hurt to receive a couple car insurance quotes and compare the coverage of various car insurance companies. If you can prove to your insurer that you can get a better deal with the same coverage somewhere else, they may lower or match the premium in order to not lose you as a customer. unnamed-7

4. Make Your Car Trackable

By installing a tracking device into your vehicle, your premiums should decrease. This is because a tracker is a form of security, when recovering your vehicle, should it be stolen. Once you have installed a tracking device in your car, inform your insurers and request a revised premium.

 5. Claim Less

When a policyholder claims often, this doesn't give the insurer much confidence in their driving competence. If an insurance company has to replace or repair property often, there is not much profit they can make out of having you as a client. High claim histories result in higher premiums as it, essentially, costs more to ensure you. If you have claimed for minor damages such as stone chips or parking dings, your premiums will most likely increase dramatically as a result.

6. High Security Equals Happy Insurers

If you can validate that your car is well looked after, and in a secure area at all parts of the day, you can ask your insurer to lower your premium. This is due to the fact that there is less risk to the vehicle. This includes where you park your car at work, and at home, and whether it is behind a boom gate or in a parking garage or patrolled parking area. Also, inform your insurer should you move to a safer area.

7. Combine Insurances

If you have both household and car insurance policies, combine them. A joint policy will cover both your household contents and your car and will result in a more affordable premium (available to Comprehensive Insurance policyholders). CompareGuru_Billboard_2