Tips For Getting Cheap Car Insurance For Your New Car
Reader’s Question:
I’m going to buy my very first car next month. Can you give me tips on how to choose or what to choose so that I can obtain a cheap car insurance?
Dan
Louisville KY
It’s a good decision to consider how much insurance you will have to pay before buying a car. Insurance costs a lot these days that to get a cheap car insurance is a tricky business. Since the type and model of the car will affect the insurance premium, you must choose a model 1997 or something later than that. While older cars than 1997 are less expensive, they can ultimately cost you more for insurance premiums.
If you want cheap car insurance, later models will be a good choice as they also come with safety features, like an airbag, sidebag and roll stability. Insurance companies are particular on these things. The more safety measures the cars have, the better it will be for the premium computation. Another important thing to remember is on the car’s speed. Fast cars are associated with speeding, and speeding to accidents. In this regard, choose a car that has a 4-cylinder engine with an average horsepower. Making these two important considerations can go a long way into giving you a cheap car insurance. Finally, check with local insurance providers how much will they usually charge a particular model before buying one.
Do I Need To Have Auto Insurance In Tennessee?
Reader’s Question:
I bet people from other states will be envious. Is it true that we do not need car insurance in Tennessee and we could do away without it?
Alvin
Chattanooga TN
While it is true that auto insurance is not required in Tennessee to get your vehicle registered or to get your license, it does not mean that liability insurance should be done away with.
For one, it is foolish to think that auto insurance is not necessary. Accidents happen and not having auto insurance will expose you to a potentially damaging financial liability.
Another thing is that if you get stopped by traffic enforcement authorities for a traffic infraction, they will ask you for proof of financial responsibility. If you do not have it, you will be hauled into court where you have to obtain the proof before your hearing. If you don’t get a proof of financial responsibility, you will not be able to register your vehicle. It is also considered a misdemeanor not to have proof of financial responsibility, which means you pay a $100 fine and possible suspension of your license.
So to save yourself the stress, the time and the effort, it is best to get adequate auto insurance in Tennessee.
Another reason for getting auto insurance in this state is that it does not really cost too much to get that added convenience and peace of mind. Tennessee belongs to the ten cheapest states in terms of average insurance premiums, with premiums averaging only $666 in 2004. And there are a variety of ways to further save on auto insurance here:
- Shop around for the best price that gives you the best insurance coverage and customer service. No two companies that provide auto insurance in Tennessee has the same price structure, so one is bound to be cheaper than the other.
- Opt to pay for a higher deductible.
- Drive less. This would mean relocating nearer to your place of work or school. If that is too inconvenient, consider car pooling or taking public transportation.
- Ask for discounts. Sometimes you can get 10% off your premiums simply by asking for it.
I Want Cheap Auto Insurance In North Carolina
Reader’s Question:
I want to get auto insurance in North Carolina. What should it cover? Will my driving record affect my premium?
Liza
Chapel Hill NC
Every person getting auto insurance in North Carolina should have liability and uninsured/underinsured motorist coverage. If you obtained leased cars, you might be required by your lenders to obtain comprehensive coverage.
Liability coverage would pay for damages incurred by you and other people, as well as other properties, as a result of the accident regardless of who is at-fault. Uninsured motorist liability will protect you at times you get hurt in accidents caused by an uninsured driver.
Liability coverage comprises of third party liability for bodily injury and property damage. In North Carolina, the minimum requirement is $30,000 per person with a maximum of $60,000 per accident; and a property damage of $25,000.Uninsured motorist liability is $30,000 with $60,000 limit.
Regarding driving records, the answer to your question is yes. Driving records can greatly affect your auto insurance in North Carolina. According to the Department of Insurance, North Carolina follows a Safe Driver Incentive Plan or what they call as SDIP. Every violation you have will have corresponding points. Every time you earn a point, your premium will increase by a certain percentage. For example, you were caught driving while intoxicated. You will earn 12 SDIP points. The corresponding percentage for that will be 340%. Thus your insurance premiums will be 3.4 times the original amount.
That is why, it is most important to keep a clean record when it comes to driving. Every time you are caught repetitively for minor violations, you will still earn SDIP for that and eventually you will be categorized as a high-risk driver. In the end, it will be harder for you to achieve cheaper rates.
You might have heard of discounts. If you have one minor violation, you might be entitled to a discount depending on how long you have had the offense.
Cheap Young Driver Car Insurance For My Teen Son
Reader’s Question:
I am a parent of a teenage driver. Now I am a bit worried I will not be able to afford auto insurance coverage for him on my policy. What should I do as a parent to keep rates low for both of us?
Maggie
Columbia, SC
Parents, if not all, are a bunch of worry-warts. Paranoia increases threefold when their children grow up, and start to drive. They hinder their children in wanting to drive. It is just a natural course of life. This is the phase when they are learning to be independent. Teach and cultivate values that would make them better drivers.
Young car insurance is high. Why? First, they are relatively inexperienced. Inexperienced drivers are accidents waiting to happen, if they are not very careful. Their age is another factor. Drivers below 25 years old are considered high risk. Sorry guys but young male drivers’ rates are higher compared to female counterparts.
It is important for parents to emphasize the values of responsibility. Driving is a responsibility, not an unbounded license. Teach confidence on the road to avoid accidents. A little fear when starting to drive is understandable. Teach them to conquer that fear because an accident or ticket on their driving record at this age increases the already steep auto insurance premium.
In purchasing a auto for your children, parents must have a say. Explain to them why a regular, inexpensive car is a practical choice compared to its flashy counterparts. Make them aware of repair and maintenance costs. Expensive cars will make a dent on their budget too.
Parents may start sounding like a broken record but it is important to foster into them that a untainted driving record goes a long way. Starting on a wrong foot could give them higher insurance premiums as adults. foster in them the value of road courtesy. Enroll them in a defensive driving course. It is not enough that one knows how to drive. You might be careful, but the other driver isn’t. Defensive driving is different since you get to be alert of your surroundings, how other drivers behave, how to react efficiently. A sense of independence behind the wheel is exciting. Higher car insurance premiums are not.
Cheap Student Car Insurance Quotes
Reader’s Question:
I think its unfair for insurance companies to charge students with high car insurance rates. Is it even possible to get cheaper insurance quotes without being added to my parents policy?
Anna
Salt Lake City UT
Insurance rates differ according to some factors like the motorist’s age, gender, driving record and address. It is also with these factors that insurers rate students with a certain premium amount, usually an expensive one.
Students can expect to pay high student car insurance premium if they drive a high end car. But a male student driving a high end car can expect to pay a higher amount. It is because driving a high end car is a risk to insurers since they are too costly to repair and above all, they have high cost of claims when stolen or burglarized. Young male drivers are also considered by most insurers as a high risk since they are more frequent in using their cars than the females thus they are prone to be involved in fatal accidents. Based on their statistics, it has been proven already by insurers that young people have risky driving habits so it would be better for them to be charged with expensive insurance premiums.
There are still possible ways for those students who are still hopeful of paying less for their car insurance. The first thing that they can do is to shop around for cheap student car insurance quotes and compare them. They can actually obtain quotes the easiest way by going online. In the Internet, students can check for several insurance companies who are offering special rates for students provided that they follow the insurer’s conditions. Most insurance companies require students to get a grade point average of at least B or above. For some insurers, average students are responsible drivers and they should be given insurance discounts for being such a good student.
What Are The Good Vehicle Insurance Companies Available?
Reader’s Question:
I’m planning to get a car for myself. I know that getting a vehicle insurance is a must so I’m now looking for insurance providers. Can you give me some points on where I could get recommendations for good vehicle insurance companies?
Megan
Salem UT
You are taking a good step by planning on your vehicle insurance before buying the car. You can save a lot when you consider the insurance cost of the car you will get. It’s not really practical to get a car which will cost you a lot with insurance premiums. You might end up giving up the car.
But in getting a car insurance in Utah, you do not only take into account the insurance cost because cheap insurance does not necessarily mean an advantage. You might able to get a very cheap insurance but then if the provider is dishonest, aside from getting nothing, you’d also end up with unnecessary stress which is not worth the savings you get from being cheap. So you are very right to check the insurance providers’ credibility. Therefore, we can define good vehicle insurance companies as insurance providers who can not only give affordable premiums but, also, they will truly honor your policy coverage.
To find good vehicle insurance companies in Utah, you can start with the car industry itself. You can ask from the car dealers while shopping for your car. You will be shooting two birds with one stone – you get to ask about insurance companies while shopping for vehicles. For an insurance company to be recommended by car dealers can say a lot about their reputation. Also, there are car dealers who will offer to give you a free vehicle insurance coverage for a length of time if you get your car from them.
Find people who own the cars in your preference list. It’s good to learn about people’s first-hand experience with the insurance companies. You will learn about the strengths and weaknesses of insurance companies from the policy holder’s point of view.
You can also check online for information on vehicle insurance companies. There are websites that posted state auto insurance company reviews. You can also check rating agencies regarding insurance companies’ financial strength. Example of rating agency is A.M. Best Company. You can also check insurance companies websites and brokers websites to check their insurance products. Then, you can contact them if you need further details for a certain product.
From all the information gathered, there will probably be 3 or 5 insurance providers that keep popping up as good in the industry. So you can go and check them out.
Car Insurance For Female Drivers – Is It Cheaper Than Male Drivers?
Reader’s Question:
Hello! Is it true that being a female driver has an advantage when it comes to car insurance? Can you give me some advice to make my car insurance lower, I am planning to buy a car, Thanks!
Amanda
El Paso, TX
Yes it’s true! Although there is no scientific proof that female drivers are excellent drivers than male, females almost always acquire cheaper quotes compared to male drivers. A simple reason behind this is female drivers tend to get into minor accidents only compared to males. Another logical reason why car insurance quotes for female drivers is low is because records shows that female drivers make less car insurance claims than males.
If you’re a female driver who is still looking forward to cheaper car insurance, you can start by reviewing your driving history. A bad driving history can lead to higher rates regardless of your gender. A minor traffic offense can be considered as a bad driving and it will make your insurance premiums higher. If you think you have bad driving record, start driving cautiously and you might get your insurance premiums to lower gradually.
Sometimes, having a good driving record can get discarded in determining your risk rating if you are trying to insure an expensive car such as a sports car. No matter how good you drive, the cost of repair and part of these type of vehicles are costly hence there is no way to have a premium that cheap. Consider also a vehicle which is not on the list of car thieves, records shows that the Honda civic and the Acura Integra are most stolen in the US so you might want to skip those when buying a new one.
How To Get a Cheap Car Insurance Policy
Reader’s Question:
I plan to buy a new car but I am worried about the costs of having car insurance. What should I do to get a low rate on car insurance policy?
Homer
Denver, CO
There are plenty of things you can do to get cheap insurance policy for your car. First you can contact a cheap car insurance company which can give you discounted insurance premiums for your car. But not all cheap car insurance companies can be trusted. Some of them do not have the financial capacity to pay off claims of their policy holders, so you might be at risk if you end up with a not so reputable insurance firm.
You can also do a lot of things on your car if you hope to get cheap insurance policy for your ride. You can install some safety features like car alarms, immobilizers and tracking devices. You can also choose a limited type of car insurance instead of going for a comprehensive type of coverage.
You can also show your driving history if you want to get cheap insurance policy for your vehicle. The less traffic violations you have had, the better chance that you have in garnering low insurance premiums.
Increasing your deductible amount is the single biggest factor in determining your annual rate – raise your deductible to the highest amount you feel comfortable with. You only pay your deductible with YOU file a claim and when YOUR insurance company pays the claim. So two things have to happen before you are required to pay your deductible amount.
I Need Really Cheap Full Coverage Auto Insurance
Reader’s Question:
This is quite a simple question – how can I get cheap and I mean really cheap full coverage auto insurance? I would really appreciate it if you could give me tips that are within my control. Thank you!
Aurora
Boise, ID
Hi Aurora! So for you to get really cheap auto insurance here’s what you should know:
- Get higher deductible. Instead of getting a deductible for $200, it would be better to get $500 or even $1000 to save more on your insurance premiums.
- It’s time to start cleaning up your credit score if you need to. Why? because your credit score affects your auto insurance rates too. The better your credit score is, the better insurance rates you will get.
- Drive an inexpensive car. If you are fond of driving fancy cars, then your auto insurance rates will be astronomical. In the opposite driving an old and cheap vehicle will save you a lot on your insurance premiums.
- Assuming you are driving an old vehicle, removing collision coverage could help you save more too.
- If you have health or home insurance then it would be better to get auto insurance policy from the insurance providers you have for your home and health insurance.
- Shop around. I guess you have an access to the Internet, so start shopping for insurance quotes. That’s your best shot in finding the best auto insurance deal. Just make sure you know how to compare auto insurance quotes the right way.
I would recommend you start shopping for your auto insurance quotes now so you could start finding the cheapest insurance deal as early as now. Good luck!
Need To Get Cheap 16 Year Old Young Drivers Car Insurance
Reader’s Question:
I am 16 years old and I am planning on getting my own vehicle. I was wondering what the car insurance rates would be considering I am 16? Is there a way I can lower it?
Trish
Fairfield, CT
Do not be surprised if your car insurance premium is higher than you dad’s. That is because insurers, as a general rule, charge more to those who are more prone to accidents. Nobody’s accusing you of being irresponsible, but statistics has it that young drivers get involved in accidents more frequently than their older counterparts. After choosing the right vehicle, you must also look for the best insurance deal. Spend a few minutes and learn how to save a few or even a hundred dollars on your first car insurance purchase.
‘Cool’ isn’t that cool
Aside from being very expensive to maintain, sports and muscle cars have very costly premiums. You might want to choose an ordinary sedan. After all, everything boils down to mature attitude and safe driving.
Take time to learn more
Enrolling in more advanced driving lessons will chip a few dollars off your premium. Just be sure to pick those programs that are acknowledged by your state. Also, check out if the school you are enrolling for is recognized by your company.
Good achievers are better drivers
If you have excellent academic records, you qualify for another discount benefit. Companies generally grant students with 3.0 or higher GPA a 10% decrease from insurance premiums.
Let them know how far you are from home
Car insurers also offer discounts to students who live away from their homes. Discounts differ from one company to another so be wise enough to compare car insurance quotes before select your insurer.
Join the club
You can get a lower premium when you select the same company that insures your parents. Teens who join as a group acquire additional discounts, too.
Keep the traffic officer away
Keep your traffic record clean and you will pay less on your next payments. So keep that foot light on the gas and stay away from intoxication because your premium increases with every violation you make.
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