Once you spend all that money on getting that new car or that used car that you’ve always wanted, it is important to note that this is probably the second biggest investment that you will make in this lifetime. Your first biggest investment is obviously your home and after that, comes your car. This is the vehicle that is going to take you to work and home every day, and it is the car that will take you and your family on long distances away for the weekend. You can wash it and polish it every weekend, but when it comes to being involved in a car accident, there is no way you’re going to be able to buff out those dents and scratches.
Essential Car Insurance.
This is where insurance comes in and if you have a car in Australia, you need to have the necessary insurance to cover you, while driving on the roads here. It would be totally responsible of you not to have car insurance, as it protects both you and the other road users that you meet every day. In the event of an accident, whether it is your fault or not, you will have the peace of mind knowing that most outcomes are covered and that all vehicles will be repaired. However, finding the right insurance policy for you can sometimes be quite difficult and there are a number of things that you need to look for, to make sure that you get the right insurance. Your car dealer in Canberra can probably advise you as to the best policy that is available and many of them can offer you car insurance as well.
The following are a few tips to help you choose your car insurance wisely and hopefully will save you some money as well.
- Know the excess – All car insurance policies come with an excess and prices differ for the policy that you choose, that has the minimum and maximum excess. The excess is the amount of money that you will pay in the event of an accident, and after that point, your insurance company will pay for it. The higher your excess, the lower your overall insurance premium will be. You need to take the time to make sure that you can afford the excess in the event of an accident.
- No claims bonus – Many insurance companies offer you a significant discount on your insurance if you have no claims bonus over an extended number of years. If you’re a safe driver and you have never been involved in any accidents over a period of at least five years, then they will reward you with smaller monthly premiums. You need to check that the insurance company will offer you such discounts for your no claims bonus.
- Restricting drivers – If you know that it will only be you driving this vehicle and nobody else, then you can also get a discount on that as well. If you are a driver who is over 50 years of age for example, and has a clean history, then they will reward you as the main driver of the vehicle. Insurance companies get a little nervous when younger people are on the policy and so the monthly premium to be paid will reflect this.
There are many things to consider when signing yourself up for an insurance policy, so be sure to know everything that you need to know, and choose wisely.