First, think about how much money it could cost if you were involved in an accident , lawfully at fault and had to pay for someone else’s medical bills and substitution of their car. What if they were seriously injured ? What if they were driving a new and expensive car ? If you are legally responsible and don’t have enough liability coverage, you could go into debt . It is important to buy enough coverage for not only others but to cover your net worth. If you have very little money or property to protect, then purchase at least as much coverage for liability as the law in your state requires. If you have more at stake, adjust your coverage limits to match your needs .

Also, consider what would take place if you go into a car accident , whether or not it was your fault, and you couldn’t drive your car. If you are the only driver at home, have only one car, need it to get your child to daycare early and get to work on time to keep your job–and you couldn’t yield to fix it or replace it on your own–it is a very good idea to pay for extra coverage you can afford . If you are on a tight budget it might be easier to pay for comprehensive insurance, which covers your car if you have some accident that doesn’t involve another car and driver , someone vandalizes it or, say, a tree falls on it , than to pay for expensive repairs or replacement. If you are in an accident where you are determined to be legally at fault, for the same reason it might be a very good idea to go ahead and pay for collision insurance since the other driver’s insurance will not pay for the damage to your car . Further, how would you pay for towing if these things happened? What would get you around town during this time ? These complications can hinder you if you are not inclined(p) to pay for them out of pocket. More insurance coverage is by far the best way to manage these problems when you have less money to cover these big expenses.  Many companies offer cheap car insurance quotes and can help provide an easy way to get the information you need to help with this balance .  Remember, everyone is different and not every policy fits all.

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Step 1 – Cut the Risk and Cut the Cost
The easiest way to cut your car insurance premiums is to cut the risk and accept a higher voluntary excess. An insurer’s standard excess may be ?100 but if you meet the first ?250 of any claim, you’ll see a reduction in your premium. This is because you’re taking on more of the risk so you get a discount. But it’s a gamble, be aware that you might have to meet the cost of a broken window after an attempted theft or a bill for repairing bodywork damage after a car park crunch.

Step 2 – Security Means Savings
Fitting security devices can also result in cheap car insurance premiums. All major insurers insist on Thatcham rated security equipment, usually a minimum of an alarm. If you live in a high-risk area for car crime, it makes sense to fit extra security. It saves you money when your insurance renewal is due and gives you extra peace of mind.

Step 3 – Annual Mileage, Less Means More in Your Pocket
If your annual mileage is, 5,000 miles or less, ask insurers if they offer discounts for agreed mileage restrictions.

Step 4 – Named Drivers Trick
Adding a named driver to your policy can increase or reduce your premiums depending upon the named drivers age, sex and driving record. Adding a young driver will increase your premiums, particularly with a limited or poor driving record. However, adding a driver over 30 years old with a long and clean driving record can cut premiums, particularly if the named driver is female!

Step 5 – Shop Around and Save Even More
The biggest car insurance savings come from shopping around. There can be massive differences between the lowest and highest car insurance quotes for exactly the same car and driver(s). Start off using good comparitive online quotation sites, take their best quotes and go direct to the cheapest car insurance company for more specific quotes.

So next time your renewal quote arrives, don’t just accept it and give your money away to the insurance company. Use the steps above and get the right cover at the right price.

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