How to Save Money on Car insurance policy 2024 |1

How to Save Money on Car insurance policy 2024 l expense for every vehicle owner, but that doesn’t mean you have to pay top dollar for it. With rising insurance premiums, finding ways to save on your car insurance is more important than ever. Fortunately, there are several smart strategies you can use to lower your car insurance costs in 2024. In this article, we’ll explore practical tips and expert advice to help you save money on your car insurance without sacrificing coverage.

1. Shop Around and Compare Quotes

One of the most effective ways to save money on car insurance is to compare quotes from multiple insurance providers. Different companies offer varying premiums for similar coverage, so taking the time to shop around can result in significant savings.

Expert Tip: “Don’t just settle for the first quote you receive. Use online comparison tools to compare at least three or four quotes. Many people save up to 15-20% just by switching insurers,” says insurance advisor Pooja Mehta.

2. Increase Your Deductible

Your deductible is the amount you pay out-of-pocket before your insurance kicks in. By choosing a higher deductible, you can lower your monthly or annual premiums. However, ensure that you can comfortably afford the higher deductible in case you need to file a claim.

Expert Tip: “Raising your deductible from ₹5,000 to ₹10,000 could lower your premium by as much as 25%. Just make sure you have that amount saved up in case of an accident,” says financial planner Rohit Khanna.

3. Bundle Your Insurance Policies

Many insurance companies offer discounts when you bundle multiple policies together, such as combining your car and home insurance. Bundling can provide you with a discount ranging from 5% to 15% on both policies.

Expert Tip: “Bundling your car insurance with other policies, like home or health insurance, can lead to big savings. Check with your insurance provider to see what bundling options are available,” recommends insurance expert Simran Malhotra.

4. Maintain a Clean Driving Record

Your driving history plays a major role in determining your car insurance premiums. Drivers with a clean record—free from accidents, traffic violations, or speeding tickets—are considered lower risk and often qualify for lower premiums.

Expert Tip: “Avoid speeding tickets and accidents, as they can cause your insurance rates to spike. Defensive driving and taking a refresher course can help keep your premiums down,” suggests insurance consultant Rakesh Patel.

5. Opt for Usage-Based Insurance

Usage-based insurance (UBI) is a type of policy where your premium is calculated based on how you drive, using a telematics device installed in your car. This is a great option for low-mileage drivers or people with safe driving habits.

Expert Tip: “If you drive less or maintain safe driving habits, usage-based insurance can save you up to 20-30% on your premiums,” says insurance specialist Neha Sharma.

6. Take Advantage of Discounts

Insurance providers offer a variety of discounts that can help reduce your premium. Some of the most common discounts include:

No-claims bonus (NCB) for drivers who haven’t filed any claims in the past year.
Good student discount for students with good academic performance.
Loyalty discount for staying with the same insurer for multiple years.
Anti-theft device discount for installing security features in your car.
Expert Tip: “Ask your insurance provider about all the discounts they offer, as many people aren’t aware of the savings they qualify for,” advises insurance agent Akash Gupta.

7. Consider Dropping Comprehensive Coverage on Older Cars

If you have an older car, the cost of comprehensive and collision coverage may outweigh the vehicle’s value. In such cases, dropping comprehensive coverage can lead to significant savings.

Expert Tip: “If your car is more than 10 years old and its market value is low, you might not need comprehensive coverage. The savings could be substantial,” recommends auto insurance expert Priya Saini.

8. Drive a Car That’s Cheaper to Insure

The type of car you drive significantly affects your insurance premium. Expensive cars or vehicles with high-performance engines tend to have higher premiums. On the other hand, safer, more reliable cars with lower repair costs are generally cheaper to insure.

Expert Tip: “Before purchasing a car, check its insurance costs. Cars with high safety ratings and low repair costs typically come with lower insurance premiums,” suggests car insurance expert Abhishek Jain.

9. Pay Your Premium Annually

Most insurance companies offer the option to pay premiums on a monthly, quarterly, or annual basis. By opting for annual payments, you can avoid administrative fees or surcharges that are often tacked onto monthly payments.

Expert Tip: “Paying your premium in a lump sum once a year can save you anywhere from 5-10%,” says financial advisor Nidhi Agarwal.

10. Review and Update Your Policy Regularly

Many people stick with the same car insurance policy for years without reviewing it. However, your insurance needs may change over time, and sticking with an old policy could mean you’re overpaying. Make it a habit to review your policy annually and adjust your coverage as needed.

Expert Tip: “Your coverage should evolve with your lifestyle changes. If you’ve paid off a loan or moved to a safer neighborhood, let your insurer know, as this could reduce your premium,” suggests insurance consultant Aditya Sharma.

Conclusion

Saving money on car insurance in 2024 doesn’t have to be difficult. By implementing these expert-backed strategies—shopping around for better rates, increasing your deductible, taking advantage of discounts, and maintaining a clean driving record—you can significantly lower your premiums. Regularly reviewing your policy and being mindful of your driving habits can also help you maximize savings without sacrificing the coverage you need.