The second most expensive purchase for most consumers over the course of their lives is an automobile. Along with the base cost of the automobile, one must factor in gas, maintenance and insurance into the total cost of ownership. By the time this is done, a consumer can end up with quite a sticker shock. Since we cannot really control the cost of gas or oil changes we have to look elsewhere for savings opportunities. One of the first places to look in order to reduce the overall cost of ownership for an automobile is the automobile insurance policy.
Most insurance companies will offer discounts to customers for meeting certain criteria. For example, some companies will offer good-driver discounts to customers who have remained accident and ticket free for a minimum period of time. Allstate offers this type of discount for it’s policyholders who have been accident free for three years and even offers a greater discount at five years. They call it a premier and premier plus discount. If you happen to fall within this category and have been with the same insurer for a few years, it may be worth a call to see if they offer a similar discount and if you qualify. Other discounts are available for those taking approved driving courses such as defensive-driving class or good student discounts for younger drivers who are enrolled in school and maintain a minimum grade point average. Discounts are also made available to senior citizens typically of age 55 or 65 and older.
The equipment on your car may also allow you to qualify for some valuable discounts on your automobile insurance policy. As automotive technology and safety engineering has advanced over the years, insurance companies have begun to offer discounts for some equipment that is now standard on many new cars. This is due in large part because of the savings it affords the cheap car insurance companies over the long term. For example, having an anti-theft device on the car will typically qualify for a discount on your insurance policy. This makes sense since fewer cars being stolen equates to fewer payouts for the insurance company. If your automobile is harder to steal then it should be cheaper to insure.
Other equipment designed to protect an automobile’s occupants during an accident or prevent them from happening at all also may qualify you for discounts on the automobile insurance policy. Anti-lock braking systems have been around for a while and have made a significant impact in reducing accidents. Airbags are another technological advancement that has helped reduce injuries when an accident occurs. Instead of having someone’s head slam into a steering wheel or windshield, the airbag deploys automatically upon detection of an accident to soften the blow. Once again, reduced injuries leads to cheap car insurance rates and a lower premium for you. Now that you know what to look for, get on that phone and speak with your local insurance agent to see if qualify for a hefty discount.