How to reduce your car insurance premiums

By James Tam on September 10th, 2007

Always remember that the insurer calculate the amount of premium according to the person with least experience.

If you park your car in a garage, nothing like it. It will save around five percent of the premium, because it is always better to park your vehicle in a safe place rather than on the street.

You can also purchase a car alarm, which will save up to eight percent. The amount of premium depends upon the type of alarm as there are a number of alarms in the market. Thatcham alarm is the best and most popular also.

Buying a small and a second hand car will make you save a good amount of money.

Read this entire article on Telegraph.co.uk

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Cheap Online Auto Insurance Quote

By James Tam on February 2nd, 2007

The fastest and easiest way to obtain a cheap car insurance quote is to go online, which is also much more convenient since consumers can gain access to numerous insurance companies, brokers or carriers through their websites at any given time and place.

The online car insurance quote that you receive is a result of computations and estimations based on the information and details given by you. This also includes your online application queries. The cheap car insurance online quotes are only approximations of the actual cost of the insurance policy, so be ready to meet more in-depth interviews and fill out more comprehensive questionnaires before you can get an actual policy. However, most online insurance quotes providers offer template application questionnaires that you can fill out for exploration purposes on rough figures.

To get your own online quote for a cheap car insurance policy from the insurance carriers and brokers who offer them, you need to visit the website of your chosen insurance company, and fill out the template form provided there. The online quote will depend on the information that you give out on the form, so make sure that you do not commit any errors that can adversely affect the online car insurance quote, and be honest about the details. This is important if you want to receive a cheap online car insurance quote, and the most accurate approximations of the policy you’re looking for.
When filling out the form for your car insurance quote online, in addition to the necessary personal information such as name, address and contact numbers (which are not always compulsory), you will also need to give information that can significantly influence the cost and coverage of the insurance policy.

For example, information regarding your age, gender and marital status can have some bearing on the cost of the premium you will need to pay for the car insurance. This is because insurance companies are well aware of the fact that single and young drivers are more likely to indulge in reckless driving, disregard for traffic rules etc, thereby being more prone to road accidents. Statistics also imply that a large percentage of road accidents in the United States are caused by teenage drunk drivers. Consequently, insurance providers almost always set a higher price on their auto insurance products for them. So if you have teenagers in your household, it’s a good idea to insure them on safer, less powerful automobiles in order to receive a cheap car insurance online quote.

The model and age/era of the car that you plan to insure will also have a substantial influence on the cost of premium on the car insurance. Insurance companies will want to know if the vehicle is still insurable or not, so if it is, make sure to mention it on the application form for the car insurance online quote. Also remember that since very expensive automobiles such as sports cars, in comparison to conventional automobiles, require more thorough and extensive repairs after collision, they are also more likely to cost you more on insurance.

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Auto Insurance Discounters

By James Tam on December 9th, 2006

auto insurance discounters Inc., launched in 1992, is a company that serves the Insurance community and specializes in auto, home, life, and commercial insurance foe individual and businesses. The website (789auto.com) provides useful information regarding the company’s Insurance Services, and allows users to post comments or questions about products or services. Starting with only 1 office as a 2 person operation 14 years back, Eastwood Insurance Services Inc. now has 12 locations in Houston, Texas, and surrounding counties.

These are some of the myths and facts about auto insurance outlined by auto insurance discounters Inc. on their website:

1. MYTH: When determining rate, auto insurance companies consider vehicle color – It is a common belief that the color of their car affects their auto insurance rate by many drivers (about 25% according to survey). However, color is never taken into consideration when calculating car insurance rates by companies. On the other hand, information about the driver, make, model, year, engine size, and body type do play an important role.
2. MYTH: There is no regulation regarding auto insurance rates, and companies can charge any amount they want – 54% of drivers surveyed did not realize that each state in the United States has a regulatory body that supervises insurance companies within its boundary. Rates charged by insurers are all regulated by the body who review the information companies collect.
3. MYTH: Drivers are protected by Comprehensive coverage in all situations – This is another myth that 48% of those drivers surveyed believed in. Comprehensive coverage is just another type of protection similar to Collision, Uninsured Motorist, etc, and only covers damage caused by an event other than a collision, including theft, vandalism, and fire; weather-related damage; collision with an animal; and stolen rental car.
4. MYTH: Drivers who crash their rental cars are covered by Rental reimbursement while on vacation– About 33% of those surveyed were not aware that Rental reimbursement coverage is provided, while 13% believed in the above myth. However, the fact is that Rental reimbursement coverage only covers the cost of a rental car when the privately owned car is in the shop for repair due to an accident and needs a replacement.
5. MYTH: Cheaper car insurance rate is always possible with Multiple insurance coverage from the same company- More than half (51%) of those surveyed actually believed that if they buy auto insurance policy from the same insurer from which they buy home insurance, they’ll always get cheaper rates. The fact is that there are savings to be had, by dealing with an independent broker/agent who can produce a custom insurance package bearing policies from competing insurance carriers.
6. MYTH: When divers turn 25, rates go down drastically – An overwhelming 60% of those surveyed believed in this myth. It is however, not known by these people that in addition to their age, Car insurance companies consider a range of information such as past claims history and the claims experience for other similar buyers, which could all lead to an increased rate.

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