You may have the best auto insurance coverage in the world, but have you ever evaluated whether the rate you pay can be slashed further while not sacrificing any present benefits? We definitely can, and this will be elaborated further.
These days, Is there any household without a car? Unlikely. It's a beneficial thing we're all required to insure our vehicles by law, in a country where roads are lost and traffic is unruly. We renew our car insurance every year since the government has made it obligatory. But, let's be honest, If we had the choice, wouldn't many of us choose not to spend this money every year, because it digs a hole in our pocket?
Well here's a list of things you can do to lower your insurance premiums without needing to make any substantial policy changes.
The deductible is the amount you decide to pay toward maintenance or claims before your insurance kicks in. You can choose this voluntary deductible value at the beginning of your insurance or upon renewal, and the greater you choose this number, the lower your premium will be.
But keep in mind that you should only raise your deductible as much as you can afford. Putting a hefty deductible out of your grasp only to lower your annual rate will defeat the objective of your claim.
Let's imagine you have a claim of Rs. 15,000 and a Rs. 10,000 voluntary deductible. If your annual premium was Rs.10,000, it would be reduced to Rs. 8,000. You would pay Rs. 10,000 at the time of the claims, whereas your insurance provider will pay Rs. 5,000.
You're probably aware that if you don't claim for two years in a row, you can earn a no-claims bonus, which can reduce your premium up to 50%. A premium discount of this magnitude is a significant saving.
Do you really want to risk losing it by claiming expenditures that you can afford? If the cost of repairing your car is less than the amount that your NCB may possibly amass, you should pay for it yourself rather than filing a claim on your insurance.
If you're selling your old automobile to get a new one, the one thing you must remember is to transfer your NCB. Always keep in mind that your NCBs are tied to you, not the policy or the vehicle. Notify your insurance provider of the necessity for an NCB transfer, and they will provide you with a certificate to aid in the transfer.
Even if you don't intend to buy a car right after selling your old one, you may always put this incentive aside for three years because that is the time limit for transferring NCBs when a motor policy is terminated.
Now is the time for online transactions. Days are gone when we have to go to a store or a mall to purchase a few items. Technology has made life so much easier than our needs can now be fulfilled at our doorway with the flick of a finger.
There's no need to be concerned about your promises not being kept. You get exactly what you see and read on the internet. The one thing you won't miss out on if you buy vehicle insurance online is filling out the long forms you'd have to fill out otherwise. Furthermore, when purchasing insurance online, insurance firms provide appealing rates and premium discounts.
Online buying methods are user-friendly and simple, making them a popular choice for customers. This allows the user to compare and select the finest vehicle insurance policies for their specific needs. Do you need any more convincing that buying something online is a good idea?
The insured stated value of your car is, as the name implies, the value determined by the insurance carrier. Depreciation is applied to the original market price to compute IDV. This IDV is the maximum amount your insurer will pay if your automobile is stolen or completely damaged. If you accurately value your IDV, you may be entitled to a lower premium.
However, if you register a very low IDV with your insurer, keep in mind that if you file a claim, that is the maximum amount of money you will receive from the insurance provider against your own declared value of the vehicle.
The best method to go about it is to report the correct IDV, which will ensure that you obtain your rightful claim and will also help you save money on your premium.
Joining AAI or WIAA as a MemberIf you are a member of one of these organizations, you may already be aware of this. The Motor Vehicles Act and Rules empower the Automobile Association of India and the Western India Automobile Association. Being a member of one of these organizations entitles you to get a discount on your insurance cost. It may not seem very convincing, but the logic is based on the notion that such members are generally regarded as safe drivers, earning them the discount. So, if you want to feel special, all you have to do is join one of these organizations and drive carefully.
Put Anti-theft Devices in PlaceWhen you make it evident to the insurance company that you are doing everything you can to secure your automobile by installing anti-theft devices, they are convinced. They give you a rebate of at least 5% on your premium.
Renew Your Policy Before It Expires
If you've not renewed your expiring policy yet, you'll have to start all again. This means you may need to get your car checked again, which you will have to pay for. Consider how your auto insurance rate will be recalculated, and you may even face price increases. If you don't want to pay more and get trapped in inconvenient situations, renew your insurance before it expires.