When it comes to saving your money or changing your auto insurance policy, there are a few useful approaches to keep in mind. All too often your insurance carrier won’t fully inform you of your options, for obvious reasons, namely because they want to keep you as a premium paying customer. Here are just a few useful tips to keep in mind.
• If you’ve been in a recent car accident or have recently been ticketed for a traffic violation, you may have seen an increase in your insurance rate. But your rate does not necessarily have to stay high forever. It is a common misconception to think that your rate is stuck where it is for the remainder of your policy. But, if you take the initiative and continue to stay involved in the status of your policy, your company may just end up lowering your rates. For instance, it could be the one of the drivers in your household has moved; or you’ve purchased a newer vehicle with more recent security features. Inform your insurance company, either by contacting the underwriting department or your insurance agent, and you may get a lower premium.
• If your insurance provider happens to be one of the larger companies around, it is important to keep in mind that they also have a large marketing department. In the cases of such large carriers, a portion of your premium goes to cover marketing costs. A smaller provider, on the other hand, will not be doing as much advertising as their larger competitors. This means you won’t be footing their hefty marketing bills.
• Some people think that they are trapped with their insurance policy until the end of the policy term, but that is not always the case. You can usually get out any time you want to. If and when you decide to change policies, you will be returned a prorated portion of what you prepaid.