Automobile insurance is one of those necessary evils that roll around annually. But it doesn’t always have to be a pain in your wallet. You can actually save a fair deal knocking the premium you pay down considerably if you know a few tricks. In this article, we will share with you five top tips that will shave your car insurance to a much more affordable rate without reducing your overall coverage
Tip #1
Shop Around And Compare Insurance Companies
This is going to involve a bit of homework on your part, but you may discover that you can earn a huge saving by switching auto insurance providers. By comparing the insurance rates offered by each company, you will be able to quickly determine which one has the lowest rate. It also depends on where you live as some states have companies that charge far less than found in neighboring states. In Nevada, the best rates seem to come from Geico, Progressive, or State Farm.
Tip #2
You Can’t Get A Discount If You Don’t Ask For One
This is an interesting tip. Although some car insurance companies offer various discounts to their customers, often you have to ask about them to see which you qualify for. There are many ways you can earn a discount such as having a clean driving record for a series of years, or if you are a member of a specific professional organization. Other discounts come from owning a vehicle that has particular safety or anti-theft devices or if you choose to bundle your car insurance with any of your other existing policies. There are discounts for insuring more than one vehicle in a policy and for individuals who pay their premium upfront. You may even qualify for a discount just by saying yes to receiving documents in your email inbox.
Tip #3
Shave Off Some Un-needed Options
If the vehicle you are insuring is a bit older, you can save a lot on your premium just by dumping comprehensive and collision coverage. Here’s why: collision coverage covers the cost of damage repair to your car that results from an accident. Comprehensive coverage covers the cost of other damage resulting from such things as fire, vandalism, flood, weather, or a crash with an animal. The maximum payout for either of these coverages hinges on the value of the vehicle and the older it gets, the lower the market value goes.
Tip #4
Pay Attention To Your Credit Score
Oddly enough, your credit score has a huge impact on your car insurance. Although there are a few states where this is not allowed, Nevada insurers have access to your credit score and can use it as part of the formula they use to calculate your premium. However, if you put in the effort to improve your credit score, the next time you have to insure your vehicle, you will see a difference in your rate. Keep working on your credit score, and your rate will be better in the following years. The best way to build your credit is to reduce your debt, and by paying your credit card bills and loan payments when they are due and avoiding a string of late payment fees.
Tip #5
Take A Look At Changing The Type Of Insurance You Use
This is a perfect tip for drivers who do not do a lot of driving over a typical year. If your annual mileage is low, you could switch to something called usage-based or pay-per-mile insurance. They have many different names depending on the insurance company you deal with but here is how each of these programs works.
Usage-Based Program
Your driving habits will have a lot of influence on how you benefit from this program. For example, drivers in Nevada who don’t drive much, or are good drivers will see benefits from a usage-based program. Plus, if you only drive at certain times of the day or year, you will earn discounts from this type of insurance program.
Pay-Per-Mile Program
This type of insurance program is just as the name implies. You track your mileage, creating the foundation of the rate you will be offered. There is one consideration to remember if you choose the usage-based or the pay-per-mile program. When you commit to either, you are giving the insurance company permission to track your driving habits. It makes sense, but it does mean you have to cooperate. The tracking is usually done either with an app you download to your phone or through a device inserted into your vehicle’s diagnostic port.
Don’t Forget To Review Insurance Costs When Buying A New Car
One of the best ways to reduce your car insurance costs is to research what you will be spending depending on the vehicle you purchase. Such factors as fuel efficiency and repair costs will have an impact on your expenses. This does not mean you should not buy the car of your dreams, but you should aim for a vehicle that will be cheaper to operate and therefore cheaper to insure. As far as top-selling vehicles go, the lowest insurance rates in Nevada are attached to the Honda CR-V, the Subaru Outback, and the Jeep Wrangler.
Final Thoughts
Drivers in Nevada have several options available to them that can cut their care insurance premiums considerably. If you start by comparing insurance rates offered by different companies, ask for discounts you qualify for, reduce coverages you don’t need, keep your credit score in good shape, and consider the type of insurance program your driving habits best match, you can save a lot. It does mean spending time in advance doing some research, but when you consider how much you can save annually by doing so, it should be a no-brainer that taking these steps will make your car insurance more affordable in the long run. And who doesn’t want to save a few bucks on their car insurance that can go to something else?
