Because of the pandemic, many of us aren't using cars as often as we did previously. With long commutes to the office eliminated from our daily schedule, many vehicle owners across Canada started considering creative ways to save on car insurance premiums. Car insurance rates aren't fixed. However, there are many steps to take to lower your car insurance premiums. Here, we summarize a few.
Steps to lower car insurance premiums
Drive with caution
When you get on the road, drive carefully and defensively. Try your best to avoid getting into accidents and committing violations. You want to keep your record clean to keep your premiums low. Therefore, careful driving will save lives and help you cut down on costs in the long run. Unfortunately, safe driving has become more and more difficult as we are dealing with more distractions now than ever before. From GPS navigation to other in-car gadgets, we are bound to look away from the road as we drive. The key is to stay present and focused.
Look out for discounts
Depending on various conditions, certain companies may offer you discounts on your policy. According to Investopedia, you may also receive a discount if you take a defensive driving course. Don't stick to one provider. Consider contacting different insurance companies to shop for different quotes annually.
Consider changing vehicles
If your family size doesn't require it, try to downsize from an SUV to a more œinsurance-friendly car. Insurance companies may offer you a discount if you buy a hybrid or an alternative fuel car. Of course, realize that you will pay more in car insurance premiums if you opt for an expensive œsports car. With many of us taking stock of our expenses due to the pandemic, it's a great time to consider shopping for an alternative-fuel or fuel-efficient œgreen car.
Install anti-theft devices
Drivers may lower their car insurance premiums if they invest in anti-theft tools for their vehicles. Anti-theft tools include security tire clamps, wireless anti-theft security alarms, keyless entry security alarm systems, steering wheel locks or brake locks. It is best to consult with an insurance broker, like NFP, to determine whether your insurance carrier provides an anti-theft insurance discount.
Pay-as-you-go/pay-as-you-drive
Previously, we've written about pay-as-you-go and pay-as-you-drive as alternatives to conventional car insurance. Many of us need to drive less because of the pandemic, it's great to expand your options and look for other forms of insurance coverage.
When it comes to pay-as-you-drive insurance, premiums are calculated based on a driver's profile. This type of insurance rewards driver's secure driving and at the same time tracks and increases premiums on dangerous driving.
On the other hand, pay-as-you-go involves the use of a telemetric device that measures the kilometers your car travels. According to Rates.ca, pay-as-you-go car insurance policies stop at 9,000 kilometers a year. In most cases if a driver exceeds 9,000 kilometers, they'll switch to non-usage-based insurance.