For those who are considered high-risk drivers, it’s never easy to get cheap auto insurance. However, it doesn’t mean that it’s impossible for them to enjoy savings.
Regardless of the reasons insurance providers classify you as a high-risk driver, there are various ways to save on expensive premiums. This is especially true if you need to get SR22 car insurance, which is required by the court in California for drivers who’ve been involved in traffic accidents due to driving under the influence (DUI). You can read this post here to learn more about it.
To save and pay less on auto insurance, here are some of the things you can do as a high-risk driver:
1. Compare Insurance Companies
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One of the ways a high-risk driver can save on auto insurance is to compare the different companies offering insurance policies. The rates of providers may vary widely, and there are some that can offer better rates and policies for high-risk drivers. So before you finalize your decision, you can never go wrong with comparing several firms if you want to get cheap car insurance.
2. Do Not Forget To Ask About Discounts
If you think it’s impossible to be qualified for auto insurance discounts because you’re a high-risk driver, think again because that’s not necessarily the case. All you have to do is to ask your agent to find out what the possible discounts you can take advantage of are.
Some of the options you’ll likely encounter are as follows:
- Loyalty Discounts – These apply to high-risk drivers who remain loyal to their company for years.
- Early Renewal Discounts – These can be offered by companies when you renew your policy before your due date. You can also enjoy discounts if you automatically draft your auto insurance. This may help you avoid filing fees and remember the payments you have to make.
- Low Mileage Discounts – These are suitable for high-risk drivers who don’t drive often.
Depending on your chosen company, don’t hesitate to ask regarding discounts. You never know if there could be something that’s suitable for your current situation.
3. Enroll In And Complete A Defensive Driving Course
To save money on auto insurance, another thing that high-risk drivers can do is to enroll in and complete a defensive driving course. Many companies recognize this type of driving course and offer low rates to those who’ve taken it.
Aside from enabling you to save on your policy, a defensive driving course can benefit you in other ways. One of these is that you’ll be able to learn the traffic laws of your state better and recognize road hazards you may not have been aware of before. Moreover, you’ll have the opportunity to discover new driving techniques and boost your driving skills.
4. Lessen Your Coverage
Almost all states require a particular level of insurance that individuals should carry. The common ones include personal injury protection, underinsured or uninsured motorist coverage, and liability coverage.
Although comprehensive and collision auto insurance aren’t mandatory in any state, a lot of people usually get these policies. In some cases, it’s a great idea to have them as they’ll help you pay for the damage to your vehicle in case you’re involved in an unexpected catastrophe or accident.
But if you’re a high-risk driver and you can’t afford to pay your premiums, you might want to drop such policies. As your car gets old, it might not be worth keeping collision and comprehensive policies.
Normally, when your vehicle’s already more than a decade old, you must do away with those types of coverage. However, at the end of the day, it depends on your decision or your vehicle’s current condition. Just keep in mind that the golden rule is that if your collision and comprehensive premiums exceed 10% of your car’s value, stop wasting your money and cancel the policies.
If you’re confused and afraid to make a decision, you can always talk to your agent or anyone who’s done it before to weigh the pros and cons of dropping those policies.
5. Increase Your Deductible
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Affordable auto insurance may seem impossible for high-risk drivers, but it’s achievable once you raise your deductible. It’s an easy thing to do that can lower your premiums instantly.
Once you raise your deductible, you’ll be paying more in case you file a claim. But, if you don’t have one, you can enjoy savings. With that said, make sure to choose a deductible that you’ll feel comfortable with and ask for assistance to know your possible options.
6. Improve Your Credit Score
Whether you’re classified as a high-risk driver due to your credit score or bad driving habits, improving your credit score can be of great help to lower your auto insurance premiums.
There are many ways to improve your credit score, and one of those is to pay off your debts and loans, such as student loans and mortgages. Once you maintain a good credit score, your insurance company may just offer you extra discounts.
7. Bundle Your Policies
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If you have different insurance policies from your preferred company, why not bundle them and save money? This is a good idea if you have more than one vehicle in your household. In that particular case, you can take advantage of a multi-vehicle or multi-policy discount.
If you’re not sure about bundling your policies, ask for help from your provider to know how much you can save. If possible, get quotes online and compare the rates of individual policies and bundled policies. However, take note that your savings may depend on your circumstances. But in many cases, bundling your policies can be an effective way to save money as a high-risk driver.
8. Insure Cheaper Vehicles
Another way high-risk drivers can save money is to insure cheaper cars. For instance, if you own a sports car, switch to a standard car to pay less on auto insurance. Even if you have a poor driving record, insuring a standard model rather than a sports car is a better idea as it always means lower premiums.
There are also instances where theft rates determine the overall cost of your auto insurance policy. So if you have this kind of policy, you might want to buy a car that’s less likely to be stolen in order to pay lower car insurance rates.
Conclusion
High-risk drivers don’t have any choice but to pay more for a standard auto insurance policy. However, although it’s more difficult to save money if you’re a high-risk driver, there’s still a way to get affordable premiums. By improving your credit score, insuring a cheaper car, and comparing different companies, you’ll be able to obtain competitive rates.
