What Determines Your Auto Insurance Rate, And How To Lower Your Monthly Bill

July 8, 2017 · Posted in General Articles on Car Insurance 

To save money on your auto insurance coverage, do the necessary research. Call several companies or visit their websites. Fill out forms, spend time on the phone, and compare premiums that each company quotes you. The process may take up some time, but you will see how the pricing differs with each insurance company.

The savings however, are likely to be worth it, so take the time and do it.

Keep in mind that insurance companies have different customer preferences and give different prices based on those preferences. Insurance rates, may and probably will vary greatly with various insurers.

What is the reason?

A number of factors affect premiums, such as the type of car you drive, martial status and most importantly driving history.

For example, insurance companies generally assume that drivers in Montreal are more likely to get into an accident than drivers in rural areas, simply because of heavy Montreal traffic. Other assumptions might be made based on statistics collected over a number of years. An example of such statistic is the higher number of collisions involving drivers from 20 – 25 years of age in comparison to drivers who are 50 – 60.

In order to lower you monthly car insurance premiums, find a company that offers the lowest rate for your “driver profile”. The only way to do that is get quotes from many companies, and select the one with the lowest offered rate.

1. Find as many auto insurance companies as you can.

Visit company websites and fill out their forms. Also be sure to give them a call and talk to a representative. The negative of talking to an insurance rep is the possibility of sales pressure from the other side.

2. Look for local insurance brokers and brokerage companies.

Chat with brokerage firms about various coverage options. Answer their questions and explain your situation. They can usually have access to the system which shows various rates, and can help you get the needed coverage, at the lowest price.

3. Find insurance comparison websites.

Many websites specialize in insurance comparison, whereby you enter your information and the websites give you rates from different insurance companies. If you find the rate you like, you can apply directly from the website.

Best of luck finding the best car insurance rate.

You can find out more about cheap Ontario car insurance on writer’s website, which is full of tips that can help you learn about auto insurance, what affects it, and what you can do about it as a vehicle owner.

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