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Saturday, October 12, 2013

Ways new drivers can save money on car insurance

Numerous techniques are available to lower auto insurance costs
Students with good grades can lower their auto insurance costs
By Claire Atkinson
Are you a new driver looking for ways to save money on car insurance? If so, read on to learn some tips that could help you pay less for insurance and pocket more money to use in other ways.

1. Can you be put on your parents’ policy?

If you can be carried on your parents’ policy for a period of time, it will certainly save you money. You can contribute to the policy to help your parents, but it will not be as expensive as having your own policy. This option will also give you the chance to put money aside for that time when you will be investing in your own insurance.

2. Do some comparison shopping

Different insurance companies will offer different rates as well as discounts, and you should do some comparison shopping before you even think of making a decision about insurance. Check out a variety of carriers to see what they have to offer, and go with the company that can offer you the coverage you desire at a comfortable yearly rate.

3. Keep your grades up

If you are attending school, you will find that good grades can get you lower premiums with a number of insurance companies that offer a good student discount. When you check out companies before making a final decision about insurance, do not forget to inquire as to whether a discount will be offered for good grades.

4. You might want to try driver’s education classes

• Some states require that a driver's education  course be completed. Even if your state does not, you might want to consider taking part in such a course due to the fact that a number of insurance companies offer discounts when driver’s education classes have been successfully completed.
• Another thing to keep in mind is that additional driver’s education courses can save you money as well. Even if you have already taken such a course, you might want to consider investing your time in additional training to save more on your insurance premiums.

5. Can you pay a higher deductible?

Can you manage a higher deductible on your policy, or can your parents if you are on their insurance policy? A higher deductible will mean lower insurance rates.

6. Drive an older model car

If you drive a vehicle that is an older model, it is cheaper to insure. The money you save on insurance now can also be put toward a newer vehicle somewhere down the road.

7. Drive safely

Safe driving has many benefits, and one of them is lower car insurance premiums. If you drive safely, you will be rewarded with decreased costs in insurance. Reckless drivers are involved in more accidents and are a higher risk to insure, thus increasing premiums.
As a new driver, you want to do what you can to ensure that you will be paying lower premiums and saving money. By following the tips above, you are taking positive steps toward acquiring reasonable auto insurance.
About the Author: Claire Atkinson writes about money-saving tips for drivers on behalf of Kanetix, an auto insurance comparison site.

* Image license: Shuets Udono; CC BY-S.A. 2.0