Talk to an agent: (201) 918-3627
Press play below to listen to our audio commercial:

Ten Things That Would Make Your Car Insurance Costly

There are things to do and things to avoid doing in order to keep the car insurance premium low or at least not so expensive. Here are ten things to avoid if you don’t want a costly premium.

10. You have a bad credit score

Even though this criterion is considered by all, there are still plenty of auto insurance companies in New Jersey that take it in account when assessing you and making your premium. According to the insurance companies, bad credit score translates into higher insurance risk. That alone can increase your premium for almost 50%. The best way to avoid that is if you enroll in some credit reporting program and pay your bills on time.  Before you make your policy you need to check first is the company taking your credit score in consideration. If you have a bad credit score that is a must ask question.

9. You live in a neighborhood with bad reputation.

Almost every New Jersey car insurance company keeps track of statistics such as number of car thefts or car accidents. As a result, they often increase the premiums for the people that live in those areas. This means thousands of dollars more if you live in a risky area. On the other hand, if you live in an area where car theft and car accidents are not so often you won’t have that problem.

8. Your yearly mileage

According to the insurance companies the more miles you make the bigger the chances to participate in some sort of traffic accident. The more miles translate into higher premium, something that the insurance companies adjust accordingly. If you don’t want to pay hundreds of dollars, you need to consider using other transport means like; public transport, carpool or walk.

7. Buy your teenage son/daughter a new ride

Teenage pay the highest premiums, that is their parents do the paying they only do the driving. Insurance policies for a new car for your teenage daughter/son can literary skyrocket the premium. Regardless that the new car might have plenty of safety features it costs much more to insure it than a used car. On the other hand if you buy your kid inexpensive, moderate priced, used car you can avoid paying hundreds of dollars more.

6. Mention convictions from the past

This can cost you quite a bit if you mention it to your insurance agent when making a new or renewing your old policy. According to the New Jersey act that passed in 1974 after certain time period you are not obligated to tell your insurer about your past convictions. Keep that to yourself and you can avoid an increase of your premiums. All you need is to talk to an attorney and he will tell you after which period you don’t have to share your past conviction with the insurance agent.

5. Neglecting your vehicle

Even though that many see vehicle upkeep as a hassle, that is something that you don’t need to avoid. In case of an accident you could be easily charged with driving a vehicle that is unsafe to drive. Once the insurance company finds out that they will surely increase your premiums. If you don’t want to pay higher premiums you need to regularly check your oil, tires, light, coolant.

4. Car improvements

Most of the younger drivers modify their cars to look better and in some cases to drive faster. As a result the cars cost more to repair in case of a traffic accident. That translated into much higher premiums. If you do not want to pay hundreds of dollars more you need to try avoiding talking about it to your insurance agent. But the downside to that is that in case of an accident occurs and you have not reported that the NJ car insurance company might refuse to pay for the damage. At the end of the day, you need to make your own math and see how much the modification of your car will truly cost you.

3. Lowering the deductibles

By doing so, you are telling your insurer to assume higher risk. As a result of that your insurer will pay the difference between the cost of the damage if you get into a traffic accident and the deductibles. The insurance companies compensate by raising your rates. This can easily mean hundreds to thousands of dollars per year added to your insurance coverage rates. The best way to avoid it is not to lower the deductibles. In case you need to do that, than try to avoid some drastic amount.

2. Combining insurance policies.

Many couples once they are married choose to combine their New Jersey car insurance company policies. The problem with that is if your spouse has a bad driving record. You can have the cleanest driving record, but if your spouse has a bad one your premium will suffer. You can count on couple of hundreds of dollars more each year. The way to avoid that is not to combine your policies. On the other hand if your spouse has a good driving record as well than you can count on lower premiums. The important thing is to talk this through with your spouse and try to anticipate how that will turn out for both of you.

1. Caught driving under the influence.

Not many other things can skyrocket your premiums like driving under influence. In the state of New Jersey anyone caught with a BAC of 0.08% or greater operating a motor vehicle is categorized to be driving under the influence of alcohol. If you don’t want to add thousand and more dollars to your premiums don’t drink, simple as that. Get a cab or ask someone else to give you a ride or you will pay thousands of dollars more on your auto insurance policy for many years just because of that last glass of wine or whatever.

However, with all that said so far there is one more thing to know if you are interested in not overpaying your car insurance policy. That is to get as many quotes as possible. The easiest and the fastest way to do so is to enter your zip above at the top of this page and you will find the cheapest car insurance in New Jersey.