Major Insurance knows that buying your first car is a major milestone, and there's plenty to think about before you can get driving. Financially, there's much more to consider than how much you can afford to pay for your vehicle. Insurance makes up a significant part of the total expense, especially for younger drivers without much history to lean on.
However, you don't need to just accept you'll be paying a fortune for your coverage. Here, Major Insurance shares a few simple tactics can reduce your insurance bill, so enjoying your new driving freedom won't leave you broke.
1) Choose Your Car Carefully
It's only natural that you'll want to drive as impressive a car as you can afford, but make sure you check the insurance costs for your chosen model before buying.
Owning the fastest, best-looking car in the neighborhood is pointless if you can't afford the coverage you need to drive it legally. Use a no-fee, no-obligation price comparison site to get a good idea of what you'll need to pay before heading for your local used car lot.
And remember, even small changes in engine power and vehicle age can make a big difference in the price, so check several different models to get a good overall picture.
2) Compare Several Insurers
It's also important to compare quotes from several insurers. Different companies have different attitudes to younger drivers. Some are keen to attract them with low prices, others want to turn them away by charging heavily. The difference between the top and bottom of the quote range can be enormous.
3) Don't Decide on Price Alone
However, don't simply take out the lowest-priced policy you can find without checking exactly what's covered. A bare-bones policy may get you on the road for less, but could easily leave you high and dry after an accident.
Make sure you'll be fully covered for your intended driving habits, and that a missing element like third-party medical cover won't leave you bankrupt after even a small accident.
4) Check the Excess
A policy's excess is the amount of a claim you'll have to cover before your insurance pays out. A higher excess means lower premiums. But if you're later faced with a $1,000 cost that you can't pay, and that takes your car off the road, it might not be worth it in the long run.
5) Don't Modify Your Car
Major Insurance warns against modifying or upgrading your car once you've bought it. Even small changes can ramp up your policy price dramatically. If you're keen to customize your vehicle, wait for a year or two at least so that you've built up a safe driving record to reduce the impact on your premiums.
6) Advanced Driving Courses
Lastly, taking an advanced driving course can provide a useful discount on a young driver's insurance by demonstrating they're a skilled and careful driver. After gaining your license you might not relish more lessons and tests, but the savings can be very worthwhile.
Insurance for a young, first-time driver will always be more expensive than for someone with a long history of safe car ownership. But with a little effort and research, you can drive down your car insurance costs to a more acceptable level.
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