Due to the dangerous driving conditions, it is compulsory to have third party insurance for every vehicle plying on Indian roads. It ensures the overall safety of the people involved in a road mishap.

As we all know, it is very difficult to land a great deal for your car insurance plan. Keeping your vehicle insurance premiums from increasing is the game that everybody wants to win but nobody knows the rules. Here are the 9 auto insurance secrets that would help you save money on your car insurance premium.

1. The Model of your Car

The model of your car will directly affect your insurance premium. Your car insurance provider would not tell you but there is a car rating system for every model and make. In case you’re planning to buy a new car, then you must keep this point in mind and feel free to ask your insurance provider about it.

2. Being Good has its own Perks

You might be surprised to know that a bad driver would have to pay 40 percent more on his car insurance premium if he/she is at fault in the case of an accident.
On the other hand, if you are a good driver you don’t have to worry about it at all. If you are a good driver, you are less likely to file a claim. When you don’t file a claim, you are rewarded in the form of a No Claim Bonus.

3. Comparison is the Key

Before you finalize a specific car insurance plan offered by a particular insurance provider, did you do your research? We are not asking you to transform into a detective, all we are saying is to be uber smart. Compare insurance premiums charged by the various motor insurance providers. The premiums might vary as the type of motor insurance plan varies. The better coverage you want, the higher your insurance premium would become. Ensure that you carefully read the print out of your insurance plan before you finalize it.

4. Evaluate your Voluntary Deductions

The voluntary deduction is the sum that the insurance buyer is supposed to pay if there is any road mishap. If your voluntary deduction is zero, you would get the entire claim amount if there is an accident. If you have an insurance policy with a specific amount as a voluntary deductible (i.e. the particular amount that you will have to pay from your pocket), then your insurance provider would pay the remaining amount.

Your voluntary deductible and your premium share an inverse relationship. The higher your voluntary deductible is, the lower your car insurance premium amount will be.

When there are any voluntary deductions, you should carefully evaluate all the consequences.

5. Installation of Security Devices Can Decrease the Premium

Security devices serve a double purpose when they are installed in your automobile. Firstly, it protects your automobile from theft. Secondly, it helps to decrease your insurance premium. Safety features such as airbags, and security alarms etc. can affect the determination of your insurance premium by the insurance providers.

6. Skip Filing Claims for Small Expenses

If a policyholder doesn’t file any claim on his/her automobile insurance plan, it entitles him/her to No Claim Bonus for a claim free year. The NCB is approximately 20 percent of the insurance premium.

If you file a claim for small charges such as minor repairs, then you won’t be entitled to any NCB. The key is to analyze the amount of the NCB that you would earn and compare it with the repair charges. If the repair charges are higher than the NCB then feel free to file a claim for the same.

You may like to Read: How to Make Car Insurance Claims

7. Keep Your Policy in an Active State

When your policy lapses, it means that it has become inactive. An inactive policy isn’t eligible for any No Claim Bonus. Hence, it is very important to keep your insurance plan in an active state.

8. Expensive Gadgets Can Hike Your Insurance Premium

If you have installed any expensive gadget in your car then it could hike your insurance premium amount. Apart from that, if you have made any modifications in your car such as rear spoilers, alloy wheels, exterior modifications, etc. it is going to affect your insurance premium. The sole reason behind that is your insurance provider will analyze your driving style on the basis of such modifications and customizations. And, the result won’t be in your favor when it comes to deciding the insurance premium amount.

9. Road Safety Organizations is the Key

Having a membership of road safety organizations such as Automobile Association of India is very beneficial in reducing car insurance premiums. Apart from other benefits, the policy holder can get a discount on his/her car insurance premium.