People adore the phrase “discount” and look for it whenever they purchase something. Discounts can be obtained in a variety of methods, including seasonal discounts, clearance sales, and holiday specials, among others. These terms, on the other hand, may not be encountered when purchasing an automobile insurance policy.

Even if there aren’t many vehicle insurance discounts available, you can still save money on your premiums by employing some simple strategies. In this post, we’ll look at how to save money on vehicle insurance in 2021.

car insurance premium


Drive carefully

You earn a discount called the No Claim Bonus if you buy a comprehensive vehicle insurance policy and do not file a claim (NCB). When you renew your automobile insurance coverage, the decreased rate will be computed immediately.

The easiest way to earn the NCB discount is to not file a claim, which may be accomplished by driving cautiously. Saving money on your automobile insurance coverage will result from caring for your own and others’ safety. Another influence is adhering to traffic laws. Your insurance will only help you if no regulations or laws have been broken.


Renew Car Insurance in Time

We all have a tendency to delay and put things off until the last minute. If you’re looking for auto insurance, this might not be the best strategy. If you don’t pay attention to what you’re buying, what appears to be a straightforward chore of policy renewal can leave you underinsured in a time of need.

Always remember to renew your insurance policy at least 7 days before it expires. If you fail to renew your auto insurance after the expiration date or even after the grace period, you may be forced to purchase a new policy, which might be significantly more expensive.


Small Claims Compensation

Paying for minor damages will keep you from having to file a claim for minor problems. If you pay for minor repairs, you can keep your NCB intact. This is because once you file a claim, your NCB will be reset to zero, and you will not be eligible for any discounts on your next vehicle insurance renewal.

In the event of a big claim, however, do not hesitate to contact your insurer. Otherwise, the objective of purchasing car insurance will be defeated. Consider purchasing the NCB Protect add-on to ensure that your discount is preserved even if you make a claim.

Check: Comprehensive Motor Car Insurance


Choose the Correct IDV

Insured Declared Value (IDV) is an acronym for Insured Declared Value. When purchasing a comprehensive car insurance coverage, you must determine an approximate value for your vehicle. When purchasing third-party car insurance, the IDV does not need to be set. The approximate current market value of your car is known as the IDV.

Setting the correct IDV is critical since it might affect the amount of premium you pay for your insurance policy. Setting a greater IDV will raise the premium unnecessarily, while setting a low value will lower the claim amount.


Online Car Insurance Comparison and Purchase

When you get vehicle insurance online, you will benefit from lower costs and the ability to compare products. When purchasing auto insurance offline, such as from an insurance agent, this may not be available. Manually comparing auto insurance premiums is a time-consuming procedure that often leaves critical comparative elements unnoticed.

When comparing vehicle insurance online, you can utilize tools that allow you to compare multiple policies in just a few clicks and display the most significant comparative factors including coverage, services, and pricing. Nowadays, purchasing an insurance online is simpler than purchasing one offline; simply enter your information, compare policies, review coverage, and pay.

Check: Car Insurance: Online Vs Offline


Purchase the Correct Car Insurance Policy

Third-party car insurance and comprehensive auto insurance are the two types of coverage available in India. You must first learn about the advantages and benefits of both types of plans before deciding which one to choose. This will save you money on auto insurance and help you prevent any unwanted expenses.

Before making any payment, read your auto insurance policy’s terms and conditions, coverages and exclusions, and so on.


Install a Theft-Prevention Device

Installing a security device in your car may qualify you for a discount on your auto insurance price. As a result, the possibilities of a theft claim are reduced. You will have to make a one-time expenditure to get an anti-theft device, but it will help you save money on your car insurance renewals in the future.

The Automotive Research Association of India certifies equipment, which insurers favor. As a result, before approaching your auto insurance company about a discount, make sure you invest in the correct gadget.


Join a motor vehicle association

Consider joining a recognized automobile organization before purchasing a new car insurance coverage. Automobile insurance reductions are frequently available to members of such organizations. Consider this alternative if you’re seeking for a valid and hassle-free approach to receive a reduction on your vehicle insurance quote.


Make any necessary adjustments to your riders

Riders are quite useful, but they come with an additional cost. As a result, it’s critical that you figure out which riders are genuinely useful. If you don’t need riders, don’t get them. This will also help you save money on your overall auto insurance premiums. If you travel alone, for example, a Passenger Cover may not be necessary.


Increase or decrease your deductible

When you buy a new car insurance cover, make sure you adjust the deductible yourself. If you are confident of your driving skills, opt for a higher deductible and your premium will come down.


Final thoughts

Taking the time to shop for or renew auto insurance will allow you to choose a policy that fits your budget. Avoid delaying this step until your insurance’s expiration date or beyond, as the cost of your coverage may rise unnecessarily.

The goal is to save money on your vehicle insurance policy. So, keep all of the above tips in mind and you will undoubtedly save money. You’ll also have the ideal insurance coverage for your prized automobile.


Read also: Is Cheapest Car Insurance a Good or Bad Thing?