How To Really Save Money On Car Insurance?

So you just received your auto insurance bill or no premium and one might ask well why is my insurance premium going up if i’ve never filed a loss for crying out loud i’ve been working from home for two years and i haven’t even really driven my car but for some reason my insurance premium has still gone up so just a little bit of information about how insurance premiums and insurance rates work in most cases it’s based off of pooling systems called risk pooling and when you are with any insurance company for that matter that operates under a risk pool it means that you’re also sharing along in the losses with everyone else who’s also in the wrist pool so although you may not have had losses and you have a perfect driving record you’ve been the great customer and there’s other people in the risk pool that has not been so great as you typically if an insurance company takes on additional losses or pays more in claims than they had ultimately expected then that causes everyone in the pool their insurance premiums to go up as well and you also find this in other types of insurance like home insurance or property insurance commercial insurance etc one recommendation that i would have when you’re looking at maybe exploring other options with your insurance agent or with your insurance company is give your insurance company a phone call and asks if their or your insurance agent asks are there any other options that you have at you know your disposal in terms of auto insurance credits maybe you are you have a new car or maybe you have a security alarm system most cars have alarm systems in it you want to make sure you’re getting all the appropriate credits on your policy typically it’s not uncommon for those credits to fall off so if you are receiving

say for instance an alarm credit on your premium last year and you got an insurance premium increase then it could be possible that that credit fell off for whatever reason so you just want to verify that those credits are still on your policy speak with your insurance agent speak with your insurance company to see if there’s new credit options that you need to supply maybe there’s a documentation for like a safe driver program or any other documentation that you might have like an employee discount or any sort of affiliate discount if you’re a member of like triple a most companies might offer a discount for that or even colleges and universities you could also get a discount um based off your school et cetera for your insurance premiums making sure that your policy zip code and your address is up to date in most cases your car insurance will be your premium will be based off where you are located where your cars are garage so the garaging address and typically if you’ve moved a lot of people have moved over the past year and a half or so and if you’ve moved make sure that your garaging address is updated because that could be a case where you could also receive a premium decrease for instance if you live in a more risky area and you relocate it to a less risky area then you could see a premium decrease now the caveat to that is that if you change your garaging address you could also you might experience an increase as well if you’re moving to a more riskier area so just speak with your insurance agent they can give you a quote sometimes you can go online depending on which company you’re with and actually do a preliminary quote yourself as if you were changing your address to see what that premium change would be on your your policy be very careful of lowering your coverages and i say that um very with experience and i see a lot of auto insurance claims were people have very low limits because they wanted to get their insurance premium down as much as possible but then when they have a auto insurance claim or an auto insurance loss unfortunately they have a an amount of loss that they their policy won’t respond to because they decided to choose the lower limits so i highly urge you when you’re considering other options or if you’re considering making changes on your policy to not decrease your bodily injury limits typically your bodily injury limits on your policy that is to essentially cover the bodily injury of someone else or people in another car that you you hit if you were in an accident so if there was one person in the car or people in the car and you caused an accident and they all got hurt or injured or god forbid they were to pass away they could sue you for bodily injury or even death because she caused accident your bodily injury limit on your auto insurance policy covers that type of loss i don’t know about you but i don’t want to be sued personally and my personal assets and my personal financial finances are at risk so just just when you’re considering making changes to your policy make sure that your bodily injury limits depending on where you live um for an example and me being in the insurance industry i have 250 000 in bodily injury coverage and although i may hopefully may not need that there could be a situation where i actually need that or that may not even be enough so that’s just one consideration i’m not advising to get 250 000 for your own policy but just speaking that what i have on my own policy just consider those higher limits especially if you’re driving pretty frequently et cetera because you just never know um what could happen when you’re driving another coverage consideration you want to consider not making changes to or perhaps making changes to if you don’t have it is the underinsured or uninsured motorist coverage for your particular state this coverage will basically provide bodily injury or property damage amounts to you if in the event you were hit by someone else who did not have insurance or who did not have enough insurance so in cases where and i see it all the time especially when i used to live in florida a lot of people the stat was about one in every five drivers were underinsured or or uninsured and so if you were hit by someone that also includes hit and runs so i don’t know if you know anyone or maybe yourself personally you got back to your car from the grocery store and someone left a note saying hey i hit your car or maybe they didn’t leave a note and then you just saw the damage but that underinsured or uninsured motorist coverage covers hit and runs etc and that will cover you your bodily injury if someone hits you and you have to go to the doctor or the hospital that coverage will basically cover you and those that are in your your vehicle or your family members that are with you in that vehicle and then the last coverage option i would say is your deductible changes um it’s easy to pick a higher deductible and efforts to get your premium or your rate down and this is really one of the first areas that i see customers go to to try to lower their rate is to increase their deductible and there’s nothing wrong with that you can increase your deductible if you choose but just know that in the event of an accident or loss whatever you choose for your deductible especially if it’s a higher amount typical amounts is 500 is what your is most auto insurance policies the base deductible is 500 and what customers and owner owners really have and then higher deductibles are used like a thousand dollars twenty five hundred dollars in some cases five thousand dollars and if you do decide to increase your deductible let’s say for instance to twenty five hundred dollars just know that in the event of a loss you have to exceed that amount of your deductible before the insurance company will pay the loss and you’re changing your deductible also know that if you are picking a higher deductible that in most cases your if you have a loan or a lease on your vehicle most check with your loan company or check with your lease company to just verify what their requirements are most loans and leases will require that you won’t you can’t exceed 500 or some might even say a thousand just depending on the type of vehicle that you have or the contract that you have with them so verify with them first i see cases where people will increase their deductible and then they get a a notice from their loan company saying your insurance company told us that you just changed your deductible please change it back otherwise we will take some adverse action and people end up changing it back and then it just it was all for enough!