Saving Money On Car Insurance For New Drivers

Jun 30, 2023

After purchasing a car, the first thing you need to do is get your car insured, especially if you are a new driver because there are chances that you might get into an accident. The reasons are many; one of them is to cover your liability or any damage you may cause. 

Is it just applicable to new vehicles? The answer is no, because the car is now yours, even if it’s a used one, and you’ll be held liable for it. 

If you are a new driver and looking for an affordable car insurance plan, then you are at the right place. We have added five money-saving tips on car insurance. So, have a look at it! 

  1. Avoid Purchasing Luxury Cars 

If you have no prior driving experience, opt for a compact car. The first and foremost benefit is that the insurance rates for small cars are relatively less than for luxury cars. Secondly, there are chances that you may cause damage to your vehicle, so avoiding to purchase luxury cars is one way of saving money on your insurance plan. 

  1. Go for Usage-Based Insurance (UBI) 

If you are a new driver, consider usage-based insurance (UBI) insurance plan. It assesses your driving style, including how much and how well you drive. Assessing your driving skills is possible by installing an app on your phone that is linked with the insurance company. Your details will be shared on that app, and there are some discount rates as well. The safer your drive, the better rating you will get. 

  1. Avoid Making Changes to Your Car 

Another way of saving money on car insurance is by avoiding adding flashy or luxury accessories because that will change the entire structure of the car and can add up to hundreds and thousands of dollars. If it’s a new car, you do not want to make it obvious to others by adding flashy modifications. By avoiding this, you may get an affordable insurance rate. 

  1. Look for Discounted Rates 

Mostly, insurance companies provide you with a variety of discount rates. There are different royalty and seasonal discounts. You can add an experienced driver to your car insurance; by doing so, you might get additional discounts. But again, it differs from company to company. So, it would help if you looked into it. 

  1. Do not Spend Unnecessarily 

If the model of your car is not new, you do not have to worry about adding Collision and Comprehensive coverage to your car insurance policy. Collision coverage implies that if your car gets damaged in a car accident, whether it is your fault or the fault of the other driver, you will get compensated in both circumstances.  

Comprehensive coverage, on the other hand, refers to those incidents in which your car gets damaged due to some reasons, such as when severe winds cause an object to smash your car’s roof, you will be compensated. However, you must first determine whether you are interested in these benefits since there is no point in adding them if you are not. 

It is important to get insurance right after you purchase a car because it’s a way to protect yourself and avoid paying for damages, especially when you are at fault. Rather than incurring the costs of repairs on your own, it is preferable to get proper car insurance from a reputable insurance company because it will save you time and effort. 


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