Author: James Daniel

How you can reduce your auto insurance premium?

How you can reduce your auto insurance premium?

Many people complain about the increasing cost of auto insurance with every passing year. We do not know those steps which can help in reducing your auto insurance cost to some extent. Let us have a look at those steps at a glance.

  1. Punch your auto insurance cost to the cost of auto purchase – If you can include your auto insurance cost to the cost of auto purchase, you can incorporate it into the monthly EMI. This can happen if you are buying the vehicle by a loan.
  2. Do some research on auto insurance rates – Before buying the car, do some research on auto insurance on the model and make of the car. The insurance premium is high on high-risk vehicles, while it is lower on vehicles which are of low risk. So, if you buy a low-risk vehicle, the insurance premium will be lower because of chances of theft is low.
  3. Getting a quote from different auto insurance agencies – Once you have decided on the model and make of the car which you are willing to buy, you can start speaking to various auto insurance agencies. Get at least three quotes from various agencies and make a comparison among them. See providing the same services and deductibles, which agency is offering the best minimum quote. You will be surprised to see that quote from one agency to other varies by a few hundreds of dollars.
    There are some websites who does all the legwork for you. Just visit those websites and you will find a chart offering quotes from various agencies. Follow a few charts and you will be able to decide on the discounted quote quite easily.
  4. Raise your deductibles – Ask the insurer to increase the collision and comprehensive part of the insurance policy. This will help to reduce the insurance premium to a great extent.  Just keep in mind that in case any accident happens and you go to file a claim, you will have to pay the deductibles out of your own pocket. Accident happens once in a lifetime and it is not an everyday matter. So just be prepared to pay that amount and your annual burden will go down to a great extent.  
  5. Buy home and auto insurance from the same company – If you have a home, just ensure to have your home and auto insurance done from the same insurer. Many insurance companies offer a further discount of 10% just to get the business of your home insurance. You will get the benefit in both the insurance policies.
  6. Insure all your cars with the same company – If you have more than one car, ensure to get them insured with the same company. Likewise, you will get a further discount with multiple cars.
  7. Ask for a low mileage discount – If you use public transport more than your car and prefer to keep your car mileage as low as possible, you can ask for a low mileage discount to the insurer. You may get a further 10%.

Always give your car to a reliable garage

If you need some repair of your car, always try to give it to a reliable garage for repair. Garage with inexperienced mechanic can not only create further damages to your car but can also charge a fat bill to you. Your insurance company may refuse to pay the inflated amount and you will have to pay the extra amount from your own pocket.

According to an estimate provided by The National Highway Traffic Safety Administration, car owners lose millions of dollars every year due to overcharging of bills by the garage. On an average Americans are charged an estimated amount of $22 billion for repairing of their cars every year. In the courts, it has also been observed that a large number of lawsuits are filed in the US courts because of these overcharging of bills in car repair.

Most of the garage mechanics are dishonest and they charge for unnecessary repairs of the cars which were actually not needed. The problem with the car owners is that many of them are not aware of the technical and mechanical details of their cars and hence could not argue with the garage owners about what was necessary and what was not. Many of these dishonest garage mechanics does not provide any warranty on the repair. If the mechanic is confident of the repair work that he has done, then he will always give a warranty on his work. If he fails to give one, then there must be some problem with his repair. Ask them if they would provide with the warranty before you proceed with the repair.

Another foul play is often done by the mechanics working at the garage. When you approach them for repair, they will give you a reasonable less price as a quote. But when the car owner goes to the garage to pick up the car, he founds that the garage has inflated the bill with the excuse that while doing the repair, he found additional problems with the vehicle which was needed to be repaired. Some mechanic does extra damage and says that the particular part was needed to be repaired.

In many cases, car parts are billed much higher than the manufacturer’s retail price. In addition, they hide the actual cost of repair to the car owner, and he ends up paying a much higher amount. Hence it is always suggested to give your car repair to an honest and reliable garage.

Always give your car to a reliable garage
Check following things with the garage before giving your SUV for repair

Check following things with the garage before giving your SUV for repair

Nowadays, many people have a love for sports utility vehicles (SUV). That is not a bad thing because like other vehicles, SUV’s too have good resale value in the market. These cars have a tendency of getting damaged more frequently and hence the necessity of repair is more.

Those who have an SUV must keep the following things in mind when you are planning to give your SUV to a garage for repair –

  1. You must start looking for a repair facility before actually, you need a one for your SUV. You will not be in trouble and start immediate repair once the car breaks down. In order to get a reliable and good repair facility, you can ask your friends or consumer organizations.
  2. Make alternative transportation ready so that you may not choose a repair facility close to your location, even they do not have the expert mechanics and good facilities.
  3. See that the repair facility has got a neat parking lot and modern updated infrastructure and facilities. Be sure that your vehicle is in safe and expert hands who will not incur any further damage. Also get an assurance from their mechanic whether he has got the experience of handling your model and make of SUV.
  4. Have a look whether their labor rates, guarantee, diagnostic fees are properly printed and posted on the office wall. They cannot avoid and go back from their commitments if everything is written. Also, ask what are the modes of payment do they accept?

To begin with, start with a small job and see if you are satisfied with their type of work and quality. If you are satisfied, you can go for bigger orders next time. Small order can be a testing one for the future one.