Tips for College Students on Car Insurance

 

Tips for College Students on Car Insurance

College is a chance to broaden your horizons and learn more about the world around you. Unfortunately, this also means that costs are rising and responsibilities are expanding. Car insurance is one of the obligations you'll have that might add significantly to your monthly expenses.

Many students believe that the insurance provider they had when living at home is adequate for their auto insurance needs, but this is not always the case. Just though your parents' insurance provider did a good job for them and possibly saved them money doesn't mean it will do the same for you. 

To get the most bang for your buck, do some research, get quotations, and make sure you're receiving what you're paying for.

Current Coverage Assessment:

Examine your current auto insurance policy to see if it meets your needs. You may discover that you're paying for insurance on a new automobile when you actually drive an older car with less worth. Insurance firms will not tell you that you are overpaying. They will simply collect the checks. If your vehicle is five years old or older, use an online vehicle valuation service to determine its current value and compare it to your deductible. 

If the deductible is $1,000 or more and the car is only worth $3,000, carrying full coverage, which may cost $100 or more per month, is unnecessary. You'll end up paying more for insurance out of pocket than the car is worth. If this is the case, you might want to consider lowering your coverage to save money each month.

Car Insurance Comparison:

It's sometimes a good idea to browse around for auto insurance quotes to see what other businesses have to offer in terms of discounts or lower rates. 

If you don't shop around for prices, you'll find that your insurance provider progressively raises your rates over time, only to decrease them slightly around important life events like turning 25 or getting married. However, the total result will be an increase in your insurance costs. Meanwhile, other insurance firms are vying for your business, which means their prices will be lower. The Kanetix.ca comparison service for vehicle insurance quotes is a popular free service. 

Obtain estimates from at least three competitive insurance providers every two years, ensuring that the bids represent the same amount of coverage. However, before switching your insurance, take the rates to your existing insurer and see if they can beat them. If not, switching insurance companies is your best option.

Changing Insurance Companies:

Changing insurance companies throughout college is an easy process. If you only have motor insurance, the procedure is even simpler. Simply sign up with the new insurance company, and your new agent will request all of your current insurance company's information.