7 Little-Known Facts to Help You Save Money on Auto Insurance 7 jg INSURANCE J effreyG re e n Y o u r P rot ec t i o n C h a m p i on A u t o • H o m e • B u s i n e ss jg INSURANCE
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7 Little-Known Facts to Help You Save Money
on Auto Insurance
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jgINSURANCE
JeffreyGreen Your Protection Champion
Auto • Home • Business
jgINSURANCE
Paris-Kirwan Associates Inc. 1040 University Avenue, Rochester, NY 14607 Email: [email protected]
Your Credit MattersIt’s not a well-known fact, but your credit score affects what you pay for auto insurance. Studies show that there is a link between credit scores and the likelihood that a person files a claim. Additionally, those with higher credit scores tend to make payments on time and stay with the same company for longer periods, which is in direct contrast to the patterns that people with lower credit scores display. Using information from your credit history, insurance companies calculate your insurance risk score, which affects the premium you pay. If you have had recent changes in credit rating or are waiting for some negative elements to be corrected on your credit report, you may be able to get lower auto insurance rates, but you have to wait until your credit rises.
Auto insurance: You’d love to live without it, but if you own a car, it’s the law in New York State. While most people typically look for the most inexpensive auto insurance available, that usually means sacrificing critical coverage that you may need down the road. So before you start trading protection for price, it’s important to remember that there are ways of saving money without settling for a cut-rate insurance policy. The key to long-term savings on your auto insurance is to have a better understanding of the hidden factors that can affect your overall rating.
Here are 7 Little-Known Facts that can help you save significant amounts of money on auto insurance, all without having to sacrifice quality of service and coverage:
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Auto • Home • Business
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Pay Now, Save Later
Paying your annual premium in full or through an electronic fund transfer (EFT) helps you save big money.Many insurance companies offer a discount–typically up to 10%–if you pay your annual premium in full. If you do choose to make monthly payments, using EFT rather than paying with a credit card or check eliminates payment-processing fees, saving you around $8 per payment.
Take Advantage of Low-mileage Discounts Some car insurance companies offer savings to drivers who put fewer than a predetermined number of miles on their vehicles each year. These discounts prorate your insurance premium based on how much you actually drive during the year. If you drive a lot, then you pay the normal premium. However, if you only drive a little bit, then your premium rate is reduced. Generally if you drive under 7,000 miles per year, you might be eligible for this discount.
Reducing your mileage even a little bit can help you to qualify for a low mileage discount. There are several ways to lower your mileage by 20% or more. To begin with, you can carpool once a week where you are not the driver. This will cut your monthly commute mileage by 20%. Another option is to use public transportation one or more times a month in order to reduce your annual mileage. These options can end up saving you hundreds of dollars a year, and they also help to contribute to a healthier environment.
jgINSURANCE
JeffreyGreen Your Protection Champion
Auto • Home • Business
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Paris-Kirwan Associates Inc. 1040 University Avenue, Rochester, NY 14607 Email: [email protected]
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Assume More Risk
Two powerful ways to bring your coverage down is to assume a higher risk. One way to dramatically reduce costs is to drop your collision insurance on an older car. If the car is worth less than $2,000, you'll probably spend more insuring it than it is worth.
Another way to save money is to ask for a higher deductible–the amount of money you have to pay before your insurance company begins paying the rest. For example, a common deductible amount is $500. This means if an accident you're in causes $1,500 worth of damage, you pay $500 and the insurance company pays $1,000. You could, however, set your deductible to $1,000, which still covers you against heavy losses, but decreases your monthly premium.
As a final note, the next time you go car shopping, keep in mind that the more expensive and high-performance the car is, the higher the premium will be. This is particularly true of cars that are frequently stolen, or are expensive to repair. Shop for a low-profile car and enjoy the savings on your car insurance.
Save Your Claims
Another little-known fact is that the quantity of claims you submit to your insurance company, not the cost, greatly impacts your auto insurance premium. A claim of $2, 000, $15,000 or $ 50,000 generates the same surcharge to your policy. The higher your deductible, the lower your premium. Save your money and try not to file claims that are affordable out of pocket. Save your claims for the “big ones” that are truly necessary.
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Take an Online Defensive Driving Course
Taking defensive driving courses is another way to get a discount on your auto insurance rates. New York State now allows you to take the Defensive Driving course online. The online course is very convenient and still offers you the 10% discount. Plus, you may end up learning some important defensive driving techniques that can actually help you avoid an accident–saving both yourself (and your insurance company) a lot of money–not to mention keeping you and your loved ones safe and sound.
Do Not Lend Your Car to a Friend
Lending your car to a friend could prove costly. If you lend your car to a friend and he or she has an accident, it's your responsibility. You'll have to file the claim with your insurance company, not your friend's. To make matters worse, you're also responsible for any deductible, and the accident could potentially leave a mark on your record, raising your rates, even if you weren't in the car. So, think twice before handing those keys out.
About Jeffrey Green
Jeffrey Green, an independent insurance agent at Paris-Kirwan Associates, is dedicated to exceeding your expectations in pricing, service, knowledge and approachability. Jeff believes in building personal relationships. He is passionate about finding each person the best coverage options at the best possible rates. Jeff takes the time to make sure you thoroughly understand the insurance product options before making a purchase. As your dedicated advocate, you can feel confident that Jeffrey Green Insurance Services will offer the right protection that fits your personal needs.
(585) 461-6435
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Contact Jeffrey Green todayfor your no-obligation
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Paris-Kirwan Associates Inc. 1040 University Avenue, Rochester, NY 14607 Email: [email protected]
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JeffreyGreen Your Protection Champion
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