10 Easy Steps on How to Reduce Car Premiums by Readjusting Your Insurance
Did you know that you can reduce your car premiums substantially by readjusting your car insurance annually? Car insurance on the whole is costly for many South Africans just by travelling on the roads of our country. Many vehicles don’t have licenses, are not roadworthy and there is a criminal element to take into account with hijackings being an everyday occurrence and theft of vehicles on the rise.
But for those that are negative about insurance premiums, take heed that there are still ways to reduce the monthly instalments on your car insurance.
Here are 10 easy steps on how to readjust your car insurance:
The first step is to make comparisons online from the plethora of service providers to find the deal that is the most cost-effective and comprehensive.
Adjusting your car insurance premiums as your vehicle’s value decreases every year is important.
Individuals often take it for granted that the insurance company will automatically adjust the insurance every year but this is usually not the case.
Clients are advised to ask their broker or insurance provider to check the value of the vehicle every year and adjust the insurance cover accordingly.
A drop in value of a couple of thousand rand can and will make a huge difference to your insurance premiums.
The insurance company will pay out only the resale value of the vehicle in the event of a claim therefore it never makes sense to overvalue the car.
You are entitled to ask your insurance company for a claims history.
Remember that insurance for younger people usually costs more.
Older drivers on the other hand normally pay less as they are deemed as being more experienced at driving.
If you don’t drive often you can increase the excess on your policy which should reduce premiums.
If you buy a good pre-owned vehicle, remember to insure the car at the correct value; we can advise you how to finance your pre-owned car and what insurance cover to take out to safeguard the vehicle against a range of eventualities.