There are many ways in which you can save money on your car insurance plan. From looking for the best plan to deducting the no claim bonus, there are some quick and easy tips that you can follow to reduce the car insurance premium. Take a look at this article to know about the interesting ways in which you can save money on your car insurance policy.
Saving money on car insurance
So how exactly can you save money on your car insurance plan? Read on to get the answers.
- Compare: There really is no alternative to comparing the plans when it comes to insurance. You can save thousands of rupees if you just take a few minutes out to run the comparisons. There are online sites dedicated to help you compare and that too at a very quick pace. All you have to do is enter your details and the available options, along with their prices, will be flashed on the screen. You can then choose the most economical option.
- Deduct the NCB: The no claim bonus is a reward you get for not making any claims during a policy period. The insurance provider offers a discount for the current year if you have a previous claim-free year. The bonus accumulates and increases over the years. So, make sure your insurer is subtracting the NCB properly. If this is not done, you will unfairly have to pay a higher premium.
- Drive safely: Driving fast is thrilling. However, it is also dangerous and may bring about many risks and dangers. Apart from seriously hurting yourself in an accident, you may also permanently damage your record with the insurance provider. A person who makes many car insurance claims is instantly seen as a poor driver and charged a higher insurance premium. So, drive carefully, avoid accidents and your car insurance costs will come down too.
- Premium payment term: Try to pay your premium at one go, rather than in a monthly fashion. Annual premium payers tend to get a discount on their car insurance plans. Since the premium is paid up front, the insurance providers do not have to worry about premium defaults and so offer the plans at lower costs to the policyholders who opt for the annual premium option.
- Make your car safer: Install a good security system in your car to make it less susceptible to theft. This may reduce the insurance premium, as the insurer will have to worry less about your vehicle getting stolen.
- Only make big claims: If you notice a scratch on your car or if there is a small dent, try to pay for the repairs yourself. Make a claim only when the repair costs are high. This will help you preserve your NCB for a longer time and will also keep your driving record intact. Both these factors will help in pulling down your car insurance costs.
- Approach your favorite insurer: If you already bought a health plan or a home insurance policy from a particular insurance provider, contact the same company for your car insurance. The insurer will be happy to do business with an existing and loyal customer and may offer you a discount, making your car insurance plan less expensive.
The bottom line
As you can see, there are many ways in which you can reduce your car insurance costs. Motor insurance is compulsory in India and so you must never drive without a policy in place. Use the tips mentioned above to control the car insurance expenses and you may not face financial difficulties in case of damages.