Not because you shell out a huge amount of money in buying a car in Singapore does not necessary means you will do the same when it comes to car insurance. None of us would probably want to spend more than we need to for auto insurance, which is why most car owners are looking for ways on how to get affordable car insurance possible. Since getting lower rates isn’t always blatant, plus the fact that car insurance varies in many aspects, it is important to do your own research in order to get the best coverage at a cost that won’t hurt your pocket. To help keep your rates low, here are some things to remember.
1. Shop around
As mentioned earlier, there are a lot of factors that can affect your car insurance costs and one of which may vary by company. There might be a lot of car insurance companies that claim they offer the lowest car insurance rates in order to encourage you to choose them in getting coverage for your car. But what most of the people don’t know is the fact that what seems to be the cheapest car insurance for one person might be quite expensive for another person given that we have different standards and definitions of “affordable car insurance”. That is why if you want to get the lowest rate possible, it is important to invest time and effort in shopping around.
2. Don’t ignore local and regional car insurance companies
Admit it or not, some people are guilty about choosing a foreign or an international brand than going for local ones. This does not only apply to products but also when choosing car insurance. If you are targeting to lower rates for your car insurance, it would be better to not ignore local and regional car insurance companies as they may have lower car insurance rates and often have higher customer satisfaction ratings compared to the big names.
3. Compare insurance costs
If you’re planning on getting whether a new or used car, it is important to check into car insurance costs first. This can help you get the low rates on car insurance, provided that car insurance premiums depend on the price of the parts of the car, the cost of repair in case it gets damaged, and the likelihood of theft. Cars models that are often targeted by burglars may result in higher insurance costs. On the other hand, a car that comes with features that reduce the risk of injuries and/or theft may have discounts on insurance rates.
4. Double-check what coverage you need
Car insurance may vary from drivers as each driver or car owner have their different insurance needs, hence find the right coverage that will suit your preference. In case you own an old car, considering not adding a comprehensive and collision coverage may save you on car insurance rates. Collision coverage pays to repair the damage to your vehicle which is caused by another car or an object, while comprehensive coverage pays to repair a vehicle that gets damaged from weather, animal crashes, floods, fire, vandalism, and even theft. Since the maximum payout on either policy depends on the value of the car, forgoing these two policies would be better and wiser given that an old car, which you own, for instance, does not hold much value.
5. Maintain a good credit record
In case you don’t know yet but your credit score has something to do with the cost of your car insurance. Most car insurance companies set the price of auto insurance based on credit information due to the fact that customers’ credit correlates with their chances of filing claims. If you want to lower your insurance rate, it is suggested to pay your bills on time as well as keep your credit balances low by not obtaining more credit than you need.
6. Keep a good driving
Although having car insurance indeed helps when it comes to financial and medical assistance, it does not give one a license to drive recklessly. Doing so, which can result in a collision, which happens to be your fault, can only make your insurance rates go higher. On the other hand, keeping a safe driving and obeying traffic rules including not over speeding, not texting while driving, not driving when drunk, and so on can help lower your rates in the long run. This is because safe drivers can get to enjoy the No-Claim Discount which provides a 10% discount on your premiums for not making a claim within a year. Keeping a safe driving for five (5) consecutive years means having to pay for only half of your insurance rate.
7. Consider raising your deductibles
Deductibles are the initial amount you pay, in case something bad happens on your car before your insurance policy kicks in. If you purchase comprehensive and collision coverage, asking for higher deductibles would be better if you are aiming to lower your premiums. However, this could also mean agreeing with paying out more of your cash as a deductible payment should you happen to crash your car. Take note that there is no deductible on liability insurance, which pays for the damage that you cause others in case of an accident.
Need quotes on motor insurance? Autoshield can walk you through! Contact us through our customer care hotline 6385 0777 or send us SMS to 8588 9191, 8686 9991, 8688 9991, 8588 9991, 8866 9991, 8868 9991, 8668 9991.
