Friday, July 25, 2008

Compare Auto Insurance Quotes and Save Up To 40%

In today's economy, every dollar counts. Doing a budgeting exercise can help you know the areas that you can cut back on. You will be surprised at what this easy exercise can do for you. Many people tend to forget the amount of money they spend simply because they don't track what they spend on. As a result, they are not sure how they can cut back on their expenses.

For sure, a some big ticket items will stand out in the balance sheet. On a sheet of paper, everything becomes obvious. One of these items could be your automotive insurance. This is a recurring expense.Every year, you pay a certain amount of premiums to the car insurance company. The price of the policy depends of multiple factors, some of which include:

1) Age of the driver.

Companies that provide auto insurance factor in the age of the driver when providing a quote for the policy. Usually, more mature drivers tend to pay less premiums. This is due to factual statistics. Younger drivers usually have a higher rate of accident. Therefore, the higher premiums.

2) New versus experienced drivers.

If you just pass your driving test, you may be under a probationary period, depending on where you reside. In this case, you may be subjected to higher rates as the company has to offer a higher level of risk. More adept drivers don't need to pay as much. In fact, if a driver continues to have a clean driving record, the premiums may even decrease year after year.

3) Car Make and model of the vehicle.

Family saloon cars tend to command low prices. The more powerful the vehicle the greater the premiums. Also, some models are especially prone to accidents (such as sports cars). Be prepared to pay much more for these makes and models.

These are the most factors that determine the price you pay for your car insurance policy. There are different types of policies in the market, and some are more inexpensive than others. Cheaper policies usually come with higher deductibles, which means that you have to be accountable for a certain amount of repair costs upfront. Anything over and above this amount, the your auto insurance company will pay on your behalf.

If budgeting is a concern, and you find that you have a clean driving record, you may wish to consider buying policies with higher deductibles. That will lead to some savings. But be aware that purchasing such policies also mean that you are taking on more risk. It's a trade off.

Finally, before running off to renew your policy, always compare quotes between insurance companies. Many car owners simply renew without further research just for the sake of convenience. Some don't even look at the rate at which they are renewing their policies. This may lead to a bad buying decision.

The auto insurance market has changed today. Mostly, it has become more competitive due to the growth of the Internet. Auto insurance companies are acquiring customers on the Internet, and they are offering very attractive deals to push ahead of the game. As the consumer, perhaps it's time to take full advantage of these changes in the marketplace. A quick comparison may save you as much as 40 percent off your normal premium rates.

0 komentar:

Post a Comment

 

Insurance Copyright © 2009 WoodMag is Designed by Ipietoon for Free Blogger Template