October 14, 2010

How To Lower Auto Insurance Premiums For Recently Purchased Vehicles

Vehicle purchases are always an exciting experience. Unfortunately, it may be a little less exhilarating to take a look at your first car insurance bill after switching to a new car, SUV, truck or minivan. Most drivers will see their auto insurance premiums change. In some cases, the change can be drastic-and it is not always for the better. Luckily, drivers can keep their auto insurance premiums down to a reasonable level by using some common sense immediately after vehicle purchases.

The first important step is to know about your new vehicle and how it is outfitted. The vehicle may qualify for a special auto insurance discount if it has side airbags, anti-lock brakes or a car alarm. Any special feature of your new vehicle that could help to diminish the chances of a car insurance claim should be reported to your insurance company in case a discount program exists. Otherwise, you will end up paying too much for your auto insurance premiums for no good reason. If your vehicle does not have any safety measures that qualify it for a discount, consider installing something like side airbags or an anti-theft feature. With many insurers, drivers can also find discounts by improving their driving skills through a defensive driver class. This can be a great option if auto insurance premiums have skyrocketed for a new car's owner.

Drivers can also find lower premiums by reevaluating their car insurance policies after vehicle purchases. Many drivers pay for coverage add ons and limits that they do not need. Reassessing the coverage limits of a policy is a good step that will allow a driver to cut out any excessive coverages; however, it is important to keep the overall value of a policy high, so drivers should be careful not to cut their coverage limits without good reason. Consider your driving habits and try talking to car insurance agents for tips on setting appropriate coverage limits. Think about areas of coverage that you may not need. For instance, personal injury protection coverage may not be necessary for drivers with good health insurance policies who rarely carry passengers.

Finally, compare car insurance rates for your new vehicle and consider switching to another insurance policy. It is easy to gather a few quotes through online insurance websites, and this is a necessary step when making any changes to a policy-particularly when buying a new vehicle. Checking the quotes of car insurance companies online will allow you to keep your auto insurance premiums low while keeping coverage high on your new vehicle. When combined with coverage reassessment and car insurance discounts, it is a great way to control the cost of your policy.