Cheap Car Insurance

As an example of how the type of car you drive affects insurance rates let’s look at the Hyundai Tiburon.

The Tiburon is a sporty car that has good performance and is not very expensive. It was popular with young drivers since 1997 when Hyundai began production.

But there was a hidden flaw.

The Tiburon topped the charts for the worst rate of theft for 4 years in a row through 2003 (IBC data). And Hyundai did not even build any in 2002.

Because there was no anti-theft device thieves soon learned it was easy to steal. The low likelihood and high cost of recovering stolen cars made Tiburon insurance more expensive.

In 2003, Hyundai added a theft deterrent: an electronically coded vehicle immobilizer. As thieves discovered it was now hard to steal they moved on to easier targets. Insurance rates dropped dramatically.

If you are considering buying a used Tiburon you would benefit from picking models no older than 2003. Then the vehicle will be at lower risk of loss and you can get lower auto insurance rates.

This is good news if you are a teen driver. You can still consider this popular, sporty car but know that it won’t be the most expensive to insure. Since Tiburons from 2003 on have an approved anti-theft device you can get a discount and cheaper car insurance.

Tags: Cars, Young Driver by admin
2 Comments »

1. Buy a low risk car
   Car insurance rates are based on the value of the car, the cost to repair, crash test results, prevalence of theft, and frequency of claims. Many factors affect these criteria, but what you drive can have a big impact on your car insurance rates. You can compare ratings of vehicles at Highway Loss Data Institute. Pick a car that has moderate power, is less popular with young drivers, has a good safety record, and is inexpensive to repair, in order to get cheap car insurance.
2. Clean up your credit score
   Insurance companies not only use car type to determine rates, they also use your credit history to determine if you are a reliable bill payer. Maintain a responsible credit history by paying bills on time, and keeping your credit balance low, in order to have cheap car insurance.
3. Drive carefully
   How you drive has a huge affect on your insurability. Your past driving history is included in the way your risk is rated. Keep your driving record spotless with no infractions, violations, tickets, claims, and you can get affordable auto insurance.
4. Increase your deductible
   If you have adequate savings to afford paying the first $500- $1000 of an insurance claim, choose a similar deductible for your car insurance coverage. Increasing your deductible from $200 to $500 can save you up to 30%. Increasing your deductible to $1000 can save you 40% on collision and comprehensive coverage.
5. Reduce coverage on low value cars
   If you have a car that is of low value, for example, that is less than ten times the premium, collision repair insurance may not be worth it. there’s a good chance the vehicle is written off and you will get only it’s market value. Be sure to retain injury and liability coverage, but drop collision coverage to get affordable car insurance.
6. Combine auto and homeowners from same company
   Insurance companies may give you a special rate if you have other insurance with them, such as homeowners, or multiple vehicles, as well as a long-term customer history. However, don’t automatically assume this is true. Shop around and compare insurance quotes.
7. Ask for discounts
   There are many possible discounts offered by insurance companies but you have to ask for them. Here is a list of possible car insurance discounts that you can request. Keep in mind, however, that some companies’ rates can be lower even with fewer discounts. Ask for all discounts possible but compare the overall value when choosing cheap car insurance.

And of course you should shop around at as many agencies, brokers, and online, to compare the insurance coverage and rates that fit your needs for cheapest and best buy in car insurance quotes.

Tags: Tips by admin
1 Comment »