A friend of mine, who’s only 20 years old, has been complaining about his commercial vehicle insurance here in California. What can I tell him to do so that he can be able to save money from it?

Gem

Anaheim, CA

A young driver like your friend could be able to get lower commercial vehicle insurance in California if he just follows some simple things. Here are some helpful tips for him:

1. Make sure that his vehicle is equipped with safety features such as anti-lock brakes, car alarm, airbags, etc. If he already does, let his vehicle insurance company know about this so that he will be considered low risk, thus, he can save money from his vehicle insurance.

2. If he still studies, he can get a good student discount on his vehicle insurance if he has an average of at least B in school.

3. Let him know that he has to reduce his mileage so that his risk to have accident will be reduced as well.

4. Tell him that he has to take care of his credit history so that he can be perceived as a responsible person, thus responsible in driving as well.

5. Keep a low profile vehicle and inform him not to drive a sports car because this has higher vehicle insurance premiums.

6. Advise him that he has to shop around for vehicle insurance quotes and compare them. He has to visit at least three vehicle insurance comparison quotes sites so as not to miss offer from other sites. This will give him a much wider basis for comparison and boost his chances of having better vehicle insurance quotes.

I heard commercial van insurance companies in Maryland offer discounts for security device system but I am just wondering what security devices are they. I need to get discount on my car insurance because I cannot afford it any longer. Do you know any car insurance companies who offer this kind of discounts?

Michael

Baltimore, MD

Generally, most insurance companies in Maryland and in other states will allow to get anti-theft or security device discount which would apply to Comprehensive coverage.

The discount that you can get may vary from one insurance company to the other but typically this can save you up to 5% to 20% savings and this is usually applied to car with a passive disabling device which renders the fuel, ignition or starting system inoperative.

Most newer car models have this type of system already installed as standard equipment. The car insurance discount will usually also apply to cars with LOJACK devices. Usually, proof of installation, such as a receipt or service order must be provided as a proof.

Do not worry, a lot of Maryland car insurance companies are offering this type of car insurance discount. Other than that, you can also take advantage of other discounts as well such as low mileage discount, good driver discount and defensive driving discount.

How exactly do I get myself affordable commercial motor vehicle insurance coverage without sacrificing coverage or liability limts?

Joe

Hartford, CT

Good question. There are still many ways to get affordable auto insurance coverage these days. Here are some very useful tips to help you out:

1. Get Your (Driving) Act Together - A good driving record can help you a lot in keeping your auto insurance within budget. The less risk you have getting into car accidents, the lower your rates become.

2. Good Credit Helps a Lot – Excellent credit can go a long way to save you money. Insurers look at people with good credit as more responsible drivers who deserve cheaper rates.

3. Bigger Deductible, Bigger Savings – Set your deductible to a higher amount to lower your premiums. Just make sure you don’t make it too big.

4. Drive Less, Save More – Reducing your total annual mileage can make you eligible for low-mileage discounts (check with your insurer for exact mileage threshold).

5. Avoid Filing Claims Frequently – Filing claims are essential, that’s the reason you got insurance in the first place, but the more you file claims the higher the risk you represent to your auto insurer. Save that claim for when you actually need it.

6. Do Some Legwork – Shopping for auto insurance online can cut you some slack on expensive coverage. With the help of an online auto insurance comparison website you can get and compare the latest offers coming from a wide selection of insurers.

Like age and driving record, can the number of miles driven each year be a factor in determining the rates my insurance company in Greater Newark will set for me?

Kyle

Greater Newark, DE

The more miles your car spends on the road mean the more opportunities there are for you to hit someone or for someone to hit you. You should therefore expect the possibility that your premium will be higher the more miles you expect to drive.

This rule is fairly simple and straightforward. Insurance premiums would be based on miles driven annually. The problem that may come up in basing car insurance to mileage are; how to monitor the odometer, how to maintain continuing coverage when insurance lapses in the middle of an emergency trip, and how to set up prepayment arrangements.

Drivers who are same in other respects such as age, location, gender, driving safety record – pay almost the same insurance rate if they drive 5,000 or 50,000 miles a year. Therefore, motorists who have the greatest amount of driving each year would pay the most for insurance – all other things being equal – and those who drive the least would pay the least.
But how far you drive is not much of a factor in determining your premium unlike a driver’s age and driving record. Some companies offer low-mileage discounts, but these don’t come close to capturing the actual difference in accident risk between high- and low-mileage drivers. It’s important to have discussions with your insurance agent or company if this kind of discount is being offered. Or, you always have the option to shop for other auto insurance companies to find the best rates available.

I know there are a lot of car insurances out there with sky rocketed premiums. I just want to know what can I do to lower down the cost of my auto insurance in Lincoln, NE? Help anybody?

Julia

Lincoln, NE

There are a lot of ways to lower your premiums. I have a cousin who’s an insurance agent in Lincoln, NE who told me that driving less would mean lower premium. So, he demanded me to use public transportation whenever I can or share a ride with a friend. The logic behind this is that less driving means less driving miles in your car. So the goal is to reach less than 500 miles/ month and when you reached that point then you can apply for a Low-Mileage policy and he did save a lot of money with that

Also, having anti-theft devices in your car is one sure way of lowering your premiums. It’s simple, more anti-theft devices means greater reduction in your premium. Who would want to offer a lower premium to a car that is vulnerable to thefts? Certainly no one!

If you have separate car insurance and medical insurance, then it’s best to ask for a lower liability coverage from you car insurance. Since you already have a health insurance you don’t really need to invest much on liability insurance since your health insurance would surely back you up when some bad things happened to you.

Those are just some ways. Always check online to know if you’re still getting what you think is affordable auto insurance that still meets your needs.

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