Carrying car insurance is imperative to avoid legal fines and accidental disasters. Still, many car owners drive uninsured fearing the high cost of coverage. However, picking a low-cost policy is definitely possible. If you wonder – How to reduce car insurance premium Australia – read below and find out.
Tips to reduce car insurance rates
The rates of insurance are rising at an alarming pace. You can’t stop the rates from rising. However, you may take certain steps on your end to bag affordable coverage. Here’s how.
Keep your car in good condition
Insurers consider your car as an investment. They’d like to know how their investment is nurtured. Companies offer generous discounts on well-maintained vehicles. By keeping your car in good condition, you may lower the rates.
Add safety features
Incidents of vehicle thefts and robberies are not uncommon. What if your car gets stolen? You’ll likely seek compensation from the insurer. That’s a big loss for the insurance company. To recoup the loss, insurers charge a higher rate. You may add enhanced safety, anti-theft devices in your car to deter possible robbery attempts. By doing so, you qualify for a low-cost policy.
Buying two policies from one insurer
If you wish to slash down your premium rates by 20 to 30 percent, buy two different policies from the same insurance provider. For instance, you can buy home insurance and car insurance from the same company. In this way, you could save as much as 30 percent on each policy every year.
Compare and shop
Like any other product, comparison shopping lets you bag an affordable policy. Make a list of reliable insurance providers after searching offline as well as online. Compare their rates, reputation, claim settlement time, and extent of coverage minutely. Finally, choose the company that offers a comprehensive car insurance policy at the most economical rate.