Every household looks to cut down on costs and expenditure. Motor insurance policy premium is one such expense that can definitely unbalance your budget. But being a mandatory stipulation as well as a financial safety net, you cannot simply choose to forego these vital expenses for your car.
However, the interesting thing is that you can definitely try to keep it as minimal as possible.
So, here we are, discussing some of the ways by which you can smartly minimise your insurance premium without compromising on the quality of protection which your four-wheeler receives.
Tips to Save on motor insurance Premium
About Insured Declared Value (IDV) :
IDV is an amount that one will get in case the car gets stolen or it goes through a total loss. It is good to have IDV which is in the range of the market value of the car. Keeping IDV low will lead to lower premium. But don’t keep it too low, as you will lose out on the benefits. So, make a right decision as per your requirement.
Motor Insurance Comparison :
Before you opt for any insurance policy, you need to compare various options offered from different insurance companies. You can avail of this facility easily on the internet. There are various websites providing different companies’ insurance plans, and also providing the option to compare motor insurance online.
Don’t just choose a plan which is cheap. Check for insurance plans that give the best coverage with the right amount. If you need to get a quick quote on approximate premium payable, you can also use a motor insurance calculator offered by these sites. Online comparison will give you the best quotes, and help you make the right decision.
Raise Your Deductible :
By increasing the amount of money that you need to pay while making a claim, you can reduce your auto insurance premium. The deductible is the amount you pay while you claim. However, if you raise the amount too much, it’ll nullify the purpose of insurance.
Anti-Theft Devices :
Anti-theft devices not only protect your car from being stolen, but they also help in decreasing the insurance premium. Any safety element affects your motor insurance policy premium in a positive way.
Do Not Let Your Policy Lapse :
If your policy lapses, you will no longer be allowed for a No Claim Bonus after 90 days of expiry. So, it is recommended that you either set a reminder for the expiration date of your policy, or you could choose to get a reminder sent from the insurance provider company itself.
No Claim Bonus (NCB) :
For every year of zero claims raised, you are rewarded with a discount on the next year premium amount. This incentive is known as No Claims Bonus. This incentive keeps increasing with every successive year of no claims filed, and can go as much as 50% of your premium amount if you don’t file for claims for 5 uninterrupted years. So avoid claiming for small expenses and save big on your premium amount.
Motor insurance has always been mandatory for all the vehicles. Not only does it guarantee your safety, but also the safety of your vehicle and any other party involved if in case there is an accident. After all, each and every life is as valuable. In order to keep on with the safety coverage, the above-mentioned tips will surely help you save big on motor insurance in 2018.