Tuesday, 21 May 2013

How To Insure Your Car

                          Getting a suitable insurance cover for your vehicle is a straightforward process. Insuring a car should not take you more than a month before you sign a deal. The process of how to insure your car
does not change much if your car is a luxury or normal one. The only difference that will come is that a luxury car is more expensive than a normal car, so its for granted, you will pay more in insurance premiums for insuring a luxury car compared to a normal car.

 Here are few tips on how to insure your car -

                                     There are only a handful of nationally-recognized car insurance companies. The best place to start, is by getting an idea of what kind of policy you need and the kinds of companies you are willing to get it from.
  •  Separate It Out -  Car insurance is made up of six types of coverage and each priced out separately to come up with your bill. But some of the coverage may not be necessary. The Insurance Information Institute separate it out what you need to know about each type of coverage. 
  •  List Of Licensed Companies -  Before going further, keep in mind that not every insurance company is licensed to operate in each state. So find out which ones are licensed,that way the state insurance department will help if there are any problems. 
  •  Weigh It Out -  Car insurance price can depend on so many factors, such as from your car's engine size to your credit history so one should get price quotations from at least three insurance companies. And make sure you are comparing every point. The Insurance Information Institute has an online tool to help you find auto insurance companies in your state. 

                              When you are narrowing down the agencies list, then price should be a factor in selecting a company but not should be decisive. Think of buying your car insurance from the same company you bought your homeowner's or renter's insurance. Because many company offers discount if you buy them from the same company.
  • Company Financial Status - If you think by comparing different insurances and selecting the best of them at lowest price is all then you are wrong. Who cares if a policy is cheap but the company won't be around to pay for claims. So check out the insurance company's financial status before investing in it.
  • How's Their Service - There are different levels of claim services. But you will want to find out about the one that will handle your claims fairly and quickly. You can find out this information from talking with current and former customers. 

                                   Now when you have settled with the terms of your car insurance policy, there are still few things by which you can reduce the cost further more.
  • By Increasing Deductible - If you increase your deductible, it could reduce the premium and save you 15 to 30 % or may be more. Just be sure that you can afford your deductible if you are in an accident.
  • By Reducing Coverage On Old Cars - It may not be a good idea to spend your money to pay for collision and comprehensive coverage on cars worth less than 10 times the amount you pay for its coverage. 

No comments:

Post a Comment