Be careful to always maintain a clean driving record. Moving violations and traffic accidents will result in dramatically higher insurance premiums. If you already have an accident or tickets on your driving record, you may be able to lower your insurance costs by taking a traffic course.
Prior to installing aftermarket additions on your car, find out from your insurer how much will be covered if the car is damaged or stolen. Insurance frequently does not provide coverage for these parts, only covering the value that is added to the car's entire value, and that may not be too much.
Sit down with your car insurance agent to prove that you are correctly covered before personalizing your car. You might buy some classy rims that retail for a thousand, but if those rims only increase your car's value by $30, you'll be out the other $970 should something happen to your car.
Understand which kinds of car insurance coverage you should have. While many insurance options are available, some do not make sense. However, if you own a valuable car and fear that you might get into an accident one day, obtaining collision coverage could give you peace of mind.
Pay attention to the insured driver on your policy. If you let a friend use your car and they get into an accident, chances are your insurance will not pay. You can opt for coverage that will allow other people to drive your car, though you will have to pay a little more for that.
With other expenses already so high, it is a good idea to drop some of those after-market upgrades that only add to aesthetic value. You should pay attention to the features that matter to the running of a car, not luxury options like heated seats. The reason is because if your vehicle is stolen or totaled, you will not be reimbursed for its damage.
Purchase property damage liability when you buy your car insurance. This type of insurance covers any property damage your car does during an accident. Most states require this sort of coverage, anyway. It can be a real financial lifesaver if you get into a serious accident with lots of damage.
Go for a non-sporty vehicle. Insuring a sports car costs significantly more than insuring other vehicles. Family-friendly cars tend to be the cheapest to insure. Generally, if the car has a big engine, you can expect to pay higher insurance premiums. A sporty car is also more apt to attract the attention of potential thieves; this is another factor that drives insurance costs through the roof.
Raising the amount of your deductibles is a great way to save money on insurance. You should then put some money aside to pay your deductibles in case you get in an accident. Your insurance rate will go down the higher your deductible is.
Many auto insurance policies are filled with difficult to understand words and phrases. However, it isn't really that complicated and when you understand the terminology of the insurance world, you'll be better equipped to find the right coverage to fit you. Insurance is a product which should give you peace of mind, and that peace of mind can be more easily gained if you are a well-informed consumer.
