We all want to save money, but for seniors on a fixed income, it’s even more critical. Seniors look for many ways to save money – clipping coupons, for example. But most seniors don’t consider saving money on their car insurance. Most think that high car insurance premiums are just a part of getting old. But there ARE some ways you can reduce your insurance rates no matter how old you are.
Here are five ways you can reduce your rates and at any age:
1) Take a driving class
Mature driver refresher courses are inexpensive and can reduce your insurance premiums by as much as 15 percent. In many states, all you have to do is pass an approved driving class that aims to sharpen your driving skills.
Rules can differ from state to state, but the typical discount is offered to drivers over 55 who take a state-approved class and meet any other state requirements. The affordable courses will cover the rules of the road, safe-driving strategies, use of new technology, and information on the effects of health issues on your driving ability.
After passing the class, you will get a certificate that you can then provide to your insurer. The discount is usually good for three years, after which you will need to retake the class to extend the discounts.
2) Choose a car that’s not expensive to replace or repair
Generally, the most affordable cars to insure are ones that don’t cost a lot to repair or replace.
Premium costs can be affected by the car’s price, the cost to repair it, its overall safety record, and the likelihood of theft. Many insurers offer discounts for features that reduce the risk of injuries or theft. For more information on the best models to purchase, you can get information from the Insurance Institute for Highway Safety (www.iihs.org).
Many insurance companies offer discounts for cars with auto-lock breaks and airbags. You also may want to consider options like rearview cameras, lane drift, collision warning, and parking assist systems. Alarms, tracking systems, and disabling devices can often provide you discounts.
3) Get credit if you are driving less frequently
Are you driving less frequently than you used to? For example, if you’ve recently retired and no longer commute to a job, your premiums should go down, or maybe you’ve cut back on the days you work and as a result, drive less. In that case, as well, your premiums could also be decreased. Discounts can also apply to low mileage drivers who carpool to work.
4) Save money if you have vehicles you only part-time
You can get cheaper ?parked vehicle’ coverage – also known as ?snowbird’ coverage during the months you are driving your vehicle. For example, if you are in Florida for part of the year, but your car is in New England. You’ll want to investigate coverage options, so you are not paying for coverage when your car’s not in use.
5) Get comparison quotes for cheaper car insurance
When was the last time you checked if you can get a lower insurance rate? A short call to a licensed insurance agent could instantly lower your premiums by hundreds of dollars a year.
What’s the value of your current vehicle? Maybe you are over-insured, OR you could consider raising your deductible. Higher deductibles can lower your costs substantially, possibly reducing your premiums anywhere from 15-30%!
One quick call is a lot easier than clipping coupons, AND you can save a lot more money too!