Panda7’s ultimate guide to lowering auto insurance rates
Has your insurance premium increased overtime? With the busy lives we lead, it can become easy to pay less attention to the details of our daily expenditures. Since the cost of living is ever-increasing, insurance prices are expected to rise overtime. To combat this, it is important to shift our focus onto the ways we can remain efficient and economical with our money.
But we don’t have time to become experts in insurance. What other ways are there to reducing our auto insurance rates without wasting our time, scouring the internet? Panda7 cuts to the chase and offers you a couple tips on how to reduce your auto insurance rates. Even if you are familiar with the insurance industry, this article may present a few new handy tips for you.
7 steps to cheaper car insurance
#1: Don’t auto renew
For reference, auto-renewals mean that you are allowing your insurance company to renew your premium automatically after a 12-month period. This may seem like a handy tool if you are constantly on the go and have more important tasks to handle but it can limit you from browsing and seeing what offers are available on the market. With many options to choose from across Canada it is important to be conscious of the changes that could present themselves.
#2: Increase your deductible
A deductible it is an amount paid out of pocket if ever you experience an accident and need to submit a claim. This would be the maximum amount you pay, with the rest being covered by your insurance company. The higher your deductible, the lower your premium. Deductibles begin at a range anywhere between $500 to $2,500. We recommend you have a deductible of at least $1,000, which is standard for Quebec. If you do not currently possess a history of accidents or claims to file, consider increasing your deductible to lower your premium.
#3: Check to see if you qualify for other discounts
On occasion, insurance companies will offer additional discounts you may be unaware of. These could include, but are not limited to, student discounts, summer promotions, and seasonal offers. It is important to check in regularly and see any applicable offers that your broker could provide you with. If you are a recent graduate or are enrolled in university, inform your broker for possible further eligibility.
#4: Drive cautiously – avoid having to file a claim
Practicing the habit of safe driving can go a long way. Not only can this reduce your chances of getting into an accident, but it can also ensure your own safety, avoiding having to file a claim. The more claims you file, the higher the possibility of your premium will increase. Engage in cautious driving, avoid texting and driving by considering downloading mobile apps to help you stay focused on the road, and always follow traffic rules.
#5: Bundle your policies
Combining different insurance policies can be crucial to the process of saving yourself and your wallet some money. Combining a home and automobile insurance not only helps land a multi-line discount leading to a lower premium, but it can be convenient to have all your information under one file.
#6: Maintain a decent credit score
Whether you realize it or not, keeping a solid credit score can help you gain access to the best insurance premium rates. Some insurance companies may ask for background checks on your credit card history to assess your eligibility of receiving a rate that matches your payments. The better your credit score, the less likely it means you have filed a claim. This goes a long way with an insurance company and their ability to provide you lower rates
#7: Shop around and compare quotes
Before your auto renewal, give yourself some time to shop around and assess other options available to you. You may be surprised and find that for the same liability coverage and deductible, you could save yourself a few dollars. Taking a few minutes to assess other quotes could help you ensure you are receiving the absolute best rates
