In the current tough economic climate many people are struggling with rising costs of living. Cutting insurance premium costs can be a simple task by shopping around for the lowest possible quotes. However, even after you purchase an auto insurance policy that works for you, there still might be hidden costs. These are some of the most common hidden insurance costs to look out for:Car Model: Insurance companies have various rating criteria based on the model of your car. Some of the factors are replacement cost, likelihood of theft, and safety features. If your vehicle has higher ratings in these categories it may increase your auto insurance premiums. Also vehicles that are considered high end are valued higher and will tend to have higher insurance costs. If you are shopping for a car it may be a good idea to talk to an insurance agent to find out which car models qualify for lower auto insurance premiums.Installment Fees: It is always a good idea to pay for your insurance policy up front if you have the funds to do so. Policies tend to run for either six months or for twelve months so it can be pricey if deciding to pay in full. If you choose to pay for your insurance in monthly installments there may be a fee associated with this convenience. Make sure to check with your insurance company before deciding as it may save you money in the long run.Forgiveness Policy: Certain insurance companies reward their customers if they have a good driving record. If you are a defensive driver with a clean record you may want to check whether your insurance company offers first accident forgiveness. This means that your car insurance company will forgive the first accident and your policy premium will stay the same. Accidents can greatly increase your premiums by as much as 50% so having accident forgiveness can help you save money on your premiums.Good Grades for Teen Drivers: Adding your teen to your insurance policy can increase your premiums significantly. Most insurance companies offer discounts for teenagers who have good grades. A grade point average of 3.0 and above can usually lower the premium as much as 25%.Extra Features: Check your auto insurance policy for extra features that you may not need but are paying for. A good example of this is roadside assistance. Most people do not need this especially if they have this feature through auto clubs, or other companies. Also, if you have a used car that is not worth a lot of money it is a good idea purchase to take off full coverage features on your insurance. In the instance that your car is totaled, you will only receive the actual cash value of what your car is worth at the time of the accident.There are many useful tips and advice on car insurance online, so make sure to do your research before making a purchase.
Everyone wants to make car insurance buying easy. That is why so many people are buying auto insurance online. However, here are a few tips and tricks you might not have thought of.First, do your homework, research every aspect of the company, and know who you are buying from.Since you are not going to be dealing with someone face to face, you must know who it is you are going to be trusting the insurance on your car to. Check out the background of the company from how long they have been in business to the Department of Insurance’s rating for them, to how well they handle claims that are turned in. Never buy a policy if you do not know what kind of company they are.Second you always want to read the policy thoroughly and know exactly what you are getting.Most companies online can either e mail you a copy of the policy or fax it or U.S. mail it to you. Make absolutely certain you know what that policy says. Know the liability limits and the deductibles. Know the amount of medical payments and whether the policy automatically includes uninsured motorist. When you are dealing with online auto insurance companies you must remember to examine, look, read, and ask. Never let anything go that you are not sure of. If you do not understand something, ask, ask, ask.The third thing you want to do is find out exactly how their claims system works and how you file a claim.Since you are going to be working with an online auto insurance company, it is extremely important to know what to do in the event you need to file a claim (accident or other). Ask if someone will come out to investigate the claim and look at the car in the event of an accident or if you will have to send in pictures and paperwork (i.e. police report or incident report or other) yourself. Sometimes dealing with an online insurance company when you have a claim can be quiet an ordeal.