Many insurance companies have Good Student, Accident Free, Claims Free, Senior, Automatic Seatbelt, Car Alarm discounts and more. However, some insurance companies don’t offer them; you might have to ask for the discounts.
By: Cristina Toney
- The higher your deductibles are on Comprehensive and Collision, the cheaper your policy will be. I recommend no less than $500.00 each, and if your car is already damaged or is over 10 years old, you may not need this coverage at all.
- If you are a senior, ask your Agent if there is a driving refresher class you can take to get a discount; it could save you hundreds of dollars a year!
- Depending on the state in which you live, it may be cheaper to put your teenager on his or her own policy. Ask your agent to run you some quotes with and without your child on your policy, to see which is cheaper. Keep in mind, if your child gets into an accident while covered on your policy, it will damage your standing in the company, as well.
- The more claims you submit the more expensive your rates will be. Unless the claim is well above your deductibles, speak with your Agent, before calling the claims department. He or she will tell you if there are other alternatives. Unfortunately, many companies count ‘notification of an accident’ as a claim, even if you didn’t submit a claim and it will count as a ‘non-payment’ claim on your claims history. Also, $50.00 and $100.00 claims reflect badly on your record in the insurance industry and could prevent you from getting discounts and premium rates.
- Claims and moving violations stay on your record for 3 years. When shopping for a new company, you should wait until these fall off of your DMV record and/or Claims History report. Do some research as to which companies have the best claims processing and which will drop you immediately after having an accident. There are many companies that don’t have a ‘non-preferred’ coverage section where they can move you until the claim falls off your record, so they just ‘non-renew’ your policy.
- Usually, the longer you are with a company, the cheaper it is, even when rates are increased.
- It is almost always cheaper to have your auto and homeowners (or renters) policies together, with the same company. Also, you could ask your life insurance Agent if that company offers ‘property and casualty’ coverage; it may save you even more money. I do not recommend getting life insurance with a company that specializes in ‘property and casualty’ as it will probably be more expensive per unit.
- Always ‘stack’ your coverage, where ever applicable, if you have more than one vehicle. This saves you a great deal of money.
- In many states, driving records and claims of people living in the same household as you, can affect your record and ability to get discounts, even when you have separate policies. How well does your roommate drive?
- Always, always ask your Agent what discounts the company offers and how you can get these discounts. Many companies offer Good Student, Accident Free, Claims Free, Senior, Automatic Seatbelt, Car Alarm discounts and more.
About the Author:
Cristina Toney has been a licensed Insurance Broker in the state of Nevada since 1995. She maintains the philopsohy of providing her clients with the maximum level of financial and income protection, when providing for their insurance needs.