Being insured if you are out on the streets is a statutory requirement. The basic coverage that each motorist should have before stepping out behind the wheel is third-party insurance. However, cars today do cost a pretty penny and even the most basic of entry-level hatches can throw up a nasty surprise when it comes to accident induced repairs. In such cases, having first-party or self-damage cover goes a long way in protecting one from wallet-shock. However, most people still continue to be unaware of the car insurance savings to be had in the market today.
At the very minimum, one must be prepared to shop around for quotes. This is a buyer’s market and the customer is king. Besides, with multiple avenues available for purchasing insurance (online as well as brick and mortar establishments on the street), there really is no excuse. Merely asking around on how you can save money on your car insurance isn’t enough. You must be prepared to put in the effort on your end too. And it all begins with price-shopping.
Most of the sources on car insurance money saving tips today fail to inform readers that their existing policy could very well be beneficial at the time of renewal or fresh purchase. The way to do this is to check if there have been any claims made in the previous year. If not, then you’re in luck. For you can now ask for the no-claim bonus or the NCB to negotiate a lowered premium. The NCB is the insurers’ way of rewarding cautious drivers who look after their cars.
Another way on how you can save money on your car insurance is by being up-front about it. Yes, that’s correct, most insurers are likely to negotiate a better rate if you were to ask them about it. This however, is more likely to happen in the case of new-car coverage, rather than mere renewals.
Another pro tip on the car insurance savings efforts is that the NCB mentioned above is transferable from one car to another. So if you haven’t made a claim, in, say, three-to-five years, then you could easily negotiate a discount of up-to 30% depending on the insurer. Imagine, a 1/3rd reduction in insurance on that brand new car can put quite a smile on your face.
So remember, the next time you find someone asking you, “how can I save money on auto insurance” do point them in this direction if you would, please. Oh and tell us, how is it that you negotiate to get the best car insurance deal for yourself.
