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Hacks For Reducing Car Insurance Premium

Wish

Written by Amit Jain

Updated Oct 18, 2023

Hacks For Reducing Car Insurance Premium

Choosing the auto insurance policy that best suits your needs at the most affordable price might be challenging given the wide variety of auto insurance policies and providers available. While there is little we can do to stop the cost of auto insurance from rising, we may strive to reduce the overall cost of our insurance coverage.

Hacks For Reducing Car Insurance Premium

Hacks That Reduce Premium Cost

The five suggestions below should help you find affordable auto insurance for your vehicle.

  • Install Anti-Theft Technology 

By putting in sophisticated anti-theft tools like alarms and tracking devices, people can also lower their premium expenses. Vehicle owners can save a lot of money by adding such safety equipment.

  • Use The No Claim Bonus (NCB)

Car insurance renewal policyholders who filed no claims for motor insurance during the previous policy year are given an NCB. With the help of this incentive, you can qualify for reductions when your auto insurance is renewed in the future.

If there are no claims for one or more years, you can receive discounts of 20% to 50%. This is applicable even if you change your car insurance company when your policy is up for renewal. By doing this, you can significantly reduce the cost of renewing your auto insurance.

  • Select Deductibles

You can dramatically lower the cost of your auto insurance premium by choosing deductibles. A deductible is an additional cost that must be paid when purchasing vehicle insurance.

For instance, if you choose a deductible of INR 5,000 and the cost of repairs comes to INR 20,000, you are only required to pay INR 5,000 upfront; the remainder is covered by your auto insurance company. Despite the fact that deductibles reduce your auto insurance premium, never choose a deductible that is higher than you can reasonably afford. Otherwise, this can completely defeat the point of getting auto insurance.

  • Benefit From Savings

By joining specific auto clubs like the Western India Automobile Association (WIAA) and the Automobile Association of India, you may be eligible for further discounts on car insurance costs.

  • Remove Pointless Add-On Covers 

When purchasing a new car, we are frequently encouraged to purchase the required add-on coverings. However, acquiring an add-on should not be done purely for selfish reasons. Any superfluous add-on coverage that would otherwise raise the price of the premium should be deleted.

  • Timely Renew Automobile Insurance Policy

Your auto insurance coverage could lapse if you don't renew it in a timely manner. Not only will you forfeit the benefits in the event of a mishap, but you will also forfeit any discounts and additional perks for which you would have otherwise qualified. 

For instance, you can forgo the NCB benefit that has been built over the years and end up having to pay more for auto insurance. Renew your auto insurance coverage on time if you want to keep receiving benefits. For timely notification of your auto insurance renewal, you should change your contact information with the company.

  • Compare Quotes Online Before Buying 

It is advisable to compare policies offered by several firms online before purchasing a policy. Online premiums are typically lower for insurance firms. If you do not compare different plans, you can miss out on significant savings.

Conclusion 

Car insurance costs are not anticipated to decrease in the near future due to increased vehicle prices and evolving lifestyles. We hope that the seven suggestions above will help you reduce the additional cost of your auto insurance.

Also Read: 

Can You Claim Car Insurance With A Temporary Registration Number?

Does Car Insurance Cover Theft?

Wish

Written by Amit Jain

Amit is an upcoming name in the motor industry be it new cars/ bikes or used ones. Amit in his last stint worked as a consultant for major Fortune 500 companies across the globe.&Read More

Disclaimer

This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.

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