Understanding and making use of all the available discounts out there is the smartest way to the best cheap car insurance. When you first purchase your car insurance, you will answer a number of questions about what kind of car you have, your driving experience, if you maintain low mileage, and how much you drive your car. These may appear pretty straight forward, but making sure they are answered precisely correct will have an impact on your insurance premium.
Take the question of whether you use your car for commuting or pleasure. At first, it may seem like a straight forward question. If you drive your car to work every day, then you use it to commute. If you use a different car, or carpool or take a bus, then your car is considered as being used for pleasure. If you don’t use your car for work but do use it for other daily tasks like getting groceries and running errands that could also be considered as commuting. There are other situations that also do not fit neatly into the commuting category. If you carpool every day of the week except one, then would you still consider that day as commuting? If you drive your car daily to the bus or train station, is that commuting?
This information is important to car insurance companies because they need to know how likely it will be that your car will be in an accident. The more time a car spends on the road, the higher the likelihood it will be involved in an accident at some point. A car that drives 10,000 miles a year has a much higher chance of being involved in an accident than a car that only drives 500 miles a year. In addition, the time of day the car is on the road is also a factor. If you are using your car for commuting, chances are you will be on the road during rush hour either coming home or going to work. Where it really gets muddled is when you don’t use your car for commuting, but you are on the road during peak traffic hours.
If you’re car does not fit neatly into one category, commuter or pleasure, then you might want to get a bit more information on the technicalities of your particular insurance policy. Fortunately, many insurance companies have additional or alternative options to help you find a category that fits you better and helps you maintains your best cheap car insurance policy. Some companies will be able to categorize your car as either a primary or secondary vehicle, which is much easier to qualify. The
primary car is the one you drive the most. You may also be able to get an average mileage by reporting it to the insurance company on a more frequent basis, which will make it a much more accurate number.
If you have not been on the road a lot lately, or if your situation has changed and now you work from home, you definitely want to check in with your insurance agent and get an updated quote based on new low mileage discounts. Anything less than 5,000 miles per year is going to be a game changer and can get you a better rate and any option for cheap car insurance is a step in the right direction. It is also something that very few people take advantage of. A Princeton Survey found that only 18% of drivers ever tell their insurance company if their daily mileage changes. Most insurance companies are not going to send out flyers or put up neon signs, so you won’t get the discounts you qualify for unless you ask for them.