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Cheap car insurance — the top things to avoid

Cheap car insurance — the top things to avoid - Insurance is a slightly strange product. When you buy your vehicle, you can't wait to slide behind the wheel and drive it away. When you buy an insurance policy you hope with all your heart you are never going to have to use it. In a world where every outcome depended on your personal skills, there would never be a need for car insurance.

You possess unbeatable ability and would never have an accident. It's merely unfortunate that not all drivers are as blessed as you. When you join traffic on a busy road, you are always relying on all the other drivers to avoid hitting you. No matter how careful you are, you can find yourself in an accident. Except this opening theme is critical to dealing with all aspects of cheap car insurance.

The usual problems arise when you have to make a claim. The moral of this story is therefore not to make a claim. The more safely you drive, the less the chance of an accident and so the fewer problems with the insurance. It all starts with speed. All the research from around the world tells the same story. 

If everyone drives more slowly, the rate of accidents involving personal injuries falls. Since the fact of injury is the trigger for most claims, it's better not to be driving fast when you collide with another vehicle. Add in the fact you're using your seat belt and the air bags deploy. You should emerge without serious damage.

If the damage to your own vehicle is slight, you can deal with it out of your own pocket. The amount of the deductible probably covers the damage anyway. There can be problems in not reporting the accident to your insurers. Take advice before you go down that route.

Pursuing the same idea, buy a safe vehicle. You will earn cheap car insurance rates simply on the fact of the make and model. If you drive defensively, never pick up a ticket and do not make a claim, you are maximizing the value of the low-cost policy without any of the downsides.

The alternative is to buy a vehicle that should really only be used on a race track and ignore all the basic rules of the road. Now you send entirely the wrong message to the insurers who will respond by increasing your rates and, if you collide with someone at speed, they will probably suggest you find another insurer.

Cheap car insurance companies don't like drivers with a high risk of claims. Finally, if you feel you may lapse into bad habits, one incentive to continuing to drive safely is to go for pay-as-you-drive. With the technology fitted in your vehicle, the quality of your driving is monitored in real time.

If you have low mileage at off-peak time and prove safe driving, you earn cheap car insurance rates. It also helps prove you are not at fault if there is an accident.