Automotive insurance is one of the most important forms of protection against incidents with one of your most at-risk major assets, your car. Having the right coverage is critical, and that means you should review your auto insurance policy whenever circumstances change. Drivers dealing with any of these 5 scenarios should contact their insurance agent and ask for a review.
Change in Miles Driven
Suppose you've changed jobs, and that change significantly affects how many miles you'll drive in a given year. If you're going to see a major downward revision in your miles driven, it's a good idea to let your auto insurance carrier know. This is often one of the biggest factors in a premium because it affects how often the car will be at risk of ending up in an accident. Reducing the road miles means reducing the odds the insurer might have to pay out a claim.
Aging
In drivers' early lives, premiums tend to be high because companies are leery of the risks that young folks pose. At the same time, companies also tend to like retirement-age drivers because they typically drive less and their accident histories are well-known. If you're getting into your 20s, it's a good idea to ask for a review to see if you can trim your rights. Likewise, a person approaching retirement can often benefit from reduced rates, too.
Points Coming Off Your License
Drivers often accumulate points on their licenses for traffic violations. However, the points come off with time as long as you don't keep violating traffic rules. If you're sure the points from an older event have come off your license, you should request a review to make sure your rates reflect your better performance in recent years.
Moving
Another major factor in auto insurance rates is the county where a person lives. This tends to relate to two factors. First, some counties have higher rates of car thefts. Second, moving to a county with roads that see lots of accidents can increase the risk of a claim. If you've moved, you usually need to notify your insurance carrier anyhow. You might as well conduct a review at this time, especially if you're confident it will yield a lower rate.
Reduced Need
If you need less insurance or can afford to pay a higher deductible, you should adjust your policy accordingly. For example, you might have reached a savings goal where you can afford a higher deductible now. This will lower your rates and allow you to save even more toward paying any potential deductible if you have an accident.
Share12 July 2022
