Car insurance is an obligation that every driver has to fulfil if they wish town a vehicle. Also, car insurance is never cheap but today, we are going to share some tips that can help cut the cost of insurance for your car.
1. Updating Car Insurance Policy
If you have a family car and are sharing it with family members, do not leave your policy registered only to license holder. Insurance company should be viewed as evil corporations and they tend to anticipate your child’s age and license issue. This can cause your insurance price to spike and the only way to prevent it is to register your kid’s name in the policy the moment he got his license.
2. State-bound Risks
Every insurance agent keeps tabs on your location and environment. So if you or your adult child drives the car to another state, it will change the policy entirely and result in an increase in your insurance policy. As such, always register the address on another state prior to taking a road-trip.
3. Ownership
It is also vital to change the name of the insurance policy holder whenever you sold your car to your son. Failing to do so might void in any claims if there is an accident.
4. Lending Cars
You must always update the insurance company whenever you lend your car to a friend for a long period of time. For the company, they are required to measure the risk involved before being able to quote the price and failing to do so can void the claim policy entirely.
5. Special Delivery
There are occasions when you use your car to deliver some work-related stuff and insurance companies don’t cover this. They actually view it as unsavoury risk thus requiring a higher value premium. The only way around this is to register for a commercial or business policy instead of personal or private.
