Media post: Don’t Make These Mistakes When Choosing Car Insurance

More than often, the process of finding the right provider for car insurance can be a tedious process. In the age of so many options and promising offers, we often find ourselves being led down garden paths which unfortunately bring us back to square one. Luckily, with some research, we can identify the things we should not be doing if we are aiming to get cheaper car insurance.

Never fall for the “cheapest provider” claim

Any company advertising itself as the “cheapest” provider of car insurance is generally not telling you the full story. It is effective to customers, as we all want to pay less for something, especially when it appears to be in tandem with a recognizable company. However, what is cheap for someone else may not be for you. It is important to shop around, and compare prices against what exactly is offered. By adhering to simple rules, such as this guide, which has helpful tips on how to get cheap auto insurance, you can figure out your best approach to using comparison tools.

Don’t ignore local or regional companies

While the temptation to go with a larger provider can be harder to resist, more often than not there are smaller companies closer to home that can offer better rates and more comprehensive cover. As these types of companies know the area better, there is also a chance that they may have incentives which would not be offered by a bigger player.

Consider the type of car against the insurance you need

The flashier or more attractive the car is that you are trying to get insured, the higher the chance is that it will be stolen. This directly affects your premiums, as the risk the company is generally willing to take will incur higher costs. This can be ten-fold in an area with a reputation for crime, or vandalism.

Check your cover and how pertinent it is

For those insuring new models or vehicles which are more desirable than others, decreasing deductibles can have a positive effect on what you pay. Just as an older car would perhaps be better off insured against policies which preclude comprehensive cover and collision, these methods are essentially ways to figure out what works for you. Comprehensive cover on a vehicle with less worth doesn’t make great sense, in the long term, as sometimes the costs of repair can exceed the cost of the vehicle itself.

Avoid thinking your credit score doesn’t matter

Unless you live in California, Massachusetts or Hawaii, for example, your credit score can affect the price of car insurance. This is why it is imperative to take care of your finances, where possible, to benefit from better prices for auto insurance. While lending companies use this information to gauge your likelihood of paying back loans and credit cards, insurance companies can use this information to justify loading premiums. By linking the likelihood of you making claims with your history of poor credit performance, you will surely suffer as a result.