Buying a new car, van, SUV or truck is usually a positive experience that fills you with giddy anticipation. That is until you remember that your new set of wheels is going to require purchasing automobile insurance. Shopping for car insurance may not be exciting, but it sure is a necessary part of owning your vehicle. Therefore, before you sign on the dotted line keep in mind these helpful tips on getting reduced rates.
Do Your Research
Don’t wait until after you’ve bought the vehicle to begin looking at insurance. Instead, jot down the make, model and market value of each car you are interested in buying. Go ahead and contact several insurance companies and get some preliminary quotes on rates to cover each potential vehicle. Before making an offer to purchase factor in the cost of the insurance. This research allows you to see which vehicle is better for your budget. Choose only the most affordable option.
Bundle Vehicles
If you are purchasing a second or third vehicle, you can save money by bundling your entire vehicle insurance under one payment roof. Choose one insurance company to handle each of your autos. Find out what kind of deal the insurer is willing to give you in exchange for handling all of your business. This tactic lowers rates for all vehicles.
Group Plan
Some insurance companies offer group plans to employers and professional organizations. Check to see if your employer offers group car insurance. If you belong to local clubs or a membership organization, see if they offer members a group insurance plan.
Defensive Measures
Lower your risk to the insurer by equipping your car with the latest safety and security features. Companies like for vehicles to have alarms, GPS tracking, anti-lock brakes, front and rear airbags and other safety amenities. Parking your car in a garage is safer than on the street. You may also want to take a defensive driving course just to show insurers that you really take driving safely seriously.
Pay a Higher Deductible
You can choose to pay a higher deductible on an insurance policy. For example, you decide to pay a $1,500 deductible instead of $500. The insurer will lower your rate payment accordingly. Make sure you can afford such a high deductible.
While doing research to find the lowest auto insurance rates take proactive steps to lower the risk for insurance companies.