Car insurance; also known as auto insurance or vehicle insurance, is insurance purchased for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred as a result of traffic accidents and against liability that could be incurred in an accident.
Coverage levels
Vehicle insurance can cover some or all of the following items:
The insured party
The insured vehicle
Third parties (car and people)
Third party, fire and theft
Rates depend on the type of car you buy. Also, insurance companies have varied criteria for calculating premiums. Getting discounts on your car premium quotes is easy if you know how to shop for it. Auto insurance companies offer several discounts if you prove that you are a low-risk driver. Here are some ways to get the cheapest car insurance.
1. Ask your insurance company representative if you qualify for premium discounts. You may get a cheap quote depending on your profession. For example, writers who work from home usually pay a low premium. They drive less and are not prone to hectic life schedules, since they work from home.
2. Collect information about the premiums charged by different companies for same kind of services, especially the risks covered. This will help you find the lowest and highest premium for car insurance.
3. Reduce your monthly installments by installing additional safety features such as an anti-theft device, airbags and automatic seat belts in your car.
4. Opt for a yearly policy instead of six-month policy. This will save you money and get you a lower quote.
5. Take a defensive driver's course. You will receive a certificate of defensive driving that you will have to submit to your company at the time of application. Taking this course lowers your premium substantially.