Low Cost Commercial Vehicle Insurance
Reader’s Question:
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.
Car Insurance Rate Discount For High Mileage Cars?
Reader’s Question:
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.
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