Tuesday, August 2, 2011

Car insurance: Students can get better rates.

College students feel the need to drive a car, but a car and expenses that you can incur, like insurance, can break a college budget. The best thing a college student can do is to not have a car. But, many times that's a solution that is not heeded. There are things one can do to lower their auto insurance rates.

Check your current auto policy for any extras that are charged for. Like roadside assistance, towing, and other things that are not really part of the insurance for your car. Drop these and your payments should be lower.

College students may be eligible for good grade discounts. Check with your insurance company and make sure you are getting all discounts, including good driver.

Increasing your deductible can really take a chunk out of your car insurance costs. Try and go for the biggest deductible that you can get. You can probably save hundreds of dollars a year on this alone.

Only pay for the coverage you need. Many insurance companies offer different levels of coverage. Anywhere from minimum coverage, to maybe a gold standard. The top package will include many things, but the cost goes up accordingly. These things can include rental cars, deductible waivers, pick up and drop off, and many other things. The lowest coverage will be the cheapest. Just be sure that what the lowest coverage is will satisfy the state in which you will be attending college accepts.

You have probably seen the many auto insurance commercials about how switching will save you money. It's true in some cases. If you are unhappy with your insurance rates, shop the big companies and see who has the best deal. You may be able to actually save some serious money.

New technology is allowing insurance companies to monitor your driving habits. If you are comfortable with this, you could get a discount.

The bottom line is to make driving a car in college cheap. Get the most discounts you can to save as much money as you can.

Many prospective college students are now considering where to go to school in the Fall. While cars are not really needed in college, many students want them. In addition, many students will be driving cross-country to their new college homes, thus having a car while in college. A student that has a car has an extra expense. This expense can break your budget. You may want to consider your college choices if you do have a car and money is tight. Some states charge more on average than others. Do some research to find where rates are cheaper.

One of the biggest expenses college students can have is a car. Gas, upkeep, and car insurance can add up. If you insist on having a car while in college, beware of what auto insurance companies can do. Don't take the first policy offered by someone who is an agent or even the company. They are trying to sell you the best car insurance policy for them, not you. Ask for a cheaper rate or how you can lower the auto insurance they are offering Talk to more than one agent as well. If they know you are comparing policies, they will offer cheaper ones up front. If you are under 25, forget a really cheap policy. No matter what, car insurance companies do like under 25 age drivers. Car insurance companies are checking your credit history now. Bad credit may get you a higher policy or even none. If you currently have insurance, it can pay to shop around. But many auto insurance companies will not cancel your present coverage, even after you get a new one from a different company. In fact, they may even bill you for the premiums and report you as being past due to a credit agency. We know that sounds crazy, but it does happen. Don't cancel your policy until you have a new one. A lapse in coverage may make you uninsurable to the next company. Auto insurance companies have a policy cancellation form. Use it. Make sure your new policy starts at exactly the same time your current policy is canceled.

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