Car Insurance Articles
What Information Will I Need To Give My Car Insurance Agent?
2009-11-10
How much control do you have over your car insurance rates? More than you might think. While some determining factors are largely out of your control, there are several steps that you can take to ensure that the cost of your car insurance policy is as low as possible. The information you give to a car insurance agent can make the difference between a high monthly premium and a far more affordable one. You might be surprised at how many variables agents consider when they determine how much you'll pay each month for your car insurance coverage.
Some of these variables you can control. For instance, your auto insurance agent will want to know the makes and models of the cars you drive. Certain cars, most notably high-performance sports cars, generally get tagged with higher insurance rates. If you buy a more modest family car, you'll usually pay less for your car insurance coverage. Your agent will also want to know how many miles you log each year with these vehicles. If you commute to work on the train or if you carpool to your office each morning, you'll be driving fewer miles every year - resulting in a lower monthly car insurance premium. Your insurance agent will also want to know if you've had any speeding tickets or accidents on your driving record. Again, if you practice safe driving habits, and you obey posted speed limits, you can lower the cost of your car insurance policy. Your agent may even want to know if you're interested in taking out life insurance or homeowners insurance. Most insurers provide discounts to customers who take out more than one type of insurance with them.
Agents will want to know what safety measures your car has. Your insurance premium might be lower if your car features airbags or anti-lock brakes. Your rates might go down, too, if you equip your car with an anti-theft system. All of these safety measures reduce the risk that your insurer will have to pay out large cash settlements to you while you own your car insurance policy. This is why insurers can reduce the cost of your premium if your car features these measures.
There are several cost variables, though, that you'll have little control over. Insurance agents will want to know where you live, because certain zip codes simply suffer more auto thefts than others. If you happen to live in one of these neighborhoods, you'll have to pay more for your car insurance policy.
Learning what questions an agent will ask you, along with what benefits can come along with the right answers to those questions may ultimately save you money.