How To Save on Car Insurance

What you pay for your car insurance can vary by hundreds of dollars, depending on what type of car you drive, your accident history and the insurance company that provides the policy.

But there are some things you can do to save money and get the best rate on your car insurance policy.

Money Saving Car Insurance Tips:

• Don’t be afraid to ask for a discount. You may qualify for a car insurance discount if you haven’t had any accidents or traffic fines for several years, or if you drive a lower than average number of kilometres annually.
• Ask the insurance company about discounts for things like anti-theft devices (if your car has them), if you have done a defensive driving course, if you are a long-time customer or insuring more than one vehicle.
• Shop Around. It’s a great idea to get multiple quotes as rates can vary greatly from one car insurer to the next and they change often.
• Review your coverage at least annually.
• Reduce coverage on older cars. You could save hundreds of dollars each year by moving from comprehensive coverage to third-party coverage on older cars. If the car is worth less than 10 times the annual premium, buying full coverage may not be cost-effective.
• Ask for a higher excess. The excess is what you pay out if you need to make a claim. By getting a higher car insurance excess you can lower your costs substantially, but make sure you put some extra dollars away to cover this amount should you need to claim.
• Bundle your insurance. You can often get a break if you buy two or more types of insurance from the same provider, such as car and home insurance.
• Insure all your cars with one insurer. This is the best way to get the best possible multi-policy rates.
• Check insurance prices before you buy your car. Some research on what a car will cost to insure could change your mind about which vehicle you choose.
• Talk with your friends, family and co-workers about the discounts they receive.