Car insurance is a necessity if you plan to operate a motor vehicle on the nation’s roads. But it’s no secret that maintaining a policy can be expensive as it seems that insurers are all too ready to penalize drivers for even the smallest infractions by raising your rates at the drop of a hat.
That leaves many of us wondering if the insurance companies ever lower the costs of a reliable auto insurance policy and how they might go about doing it. Turns out there are quite a few ways through which to reduce the cost of your premiums, but they don’t always make it so easy.
As usual, the best way to keep your insurance costs manageable is by keeping your insurance coverage valid at all times and maintaining a spotless driving record. However, there are other things you should keep in mind that will help you keep more cash in your pocket.
Your Driving Record
When we say you need to keep a spotless driving record that means driving without any accidents, tickets, or insurance claims in your recent history. But if you do have any violations, be sure they’re little things only as those will have an effect on your insurance costs for about three years. The more potentially dangerous infractions can impact your insurance rate for up to a decade!
Even if you do get a quote with an accident on your record, your rates can drop after as little as a year as long as you don’t have any new infractions. That reduction in price may not be overly significant but it’s a start towards your insurance premiums dropping.
Your Driving Experience
As you get older, you may be notice that your rates are incrementally lowering each year. But it’s not a birthday gift to you from your insurer, it’s their way of acknowledging that you have gained another year of driving experience without sustaining any accidents or committing any road violations.
If you continue to drive with an excellent record, every year older you get you can expect to pay a little less to insure your vehicle.
Insurance companies have a wide array of ways to help you lower costs. If you bundle home and auto insurance, if your vehicle has an alarm system, if you’re an A+ student, even the area in which you live can all be useful for reducing premiums. But the best way to take advantage of these breaks is by simply asking your broker which ones you might qualify for.
Your Marital Status
This is just one of many different ways to lower your rates by way of demographics. The insurance companies are always analyzing industry data and certain statistics can mean lower premiums if you fall into one of the many categories that insurers recognize.
For instance, studies show that married people are typically safer behind the wheel. It doesn’t even matter if your spouse drives or not, you can still end up saving a bunch of money on your next policy.