11 Jun 15 Tips To Reduce Your Car Insurance Cost In Kenya 2019
We are living in a world where we are not able to save more, and the expenses have become all-time high. In this scenario, it has become arduous to make savings out of the monthly expense. Talking particularly about car insurance rates in kenya, it is a major expense for every Kenyan family.
Having a lackadaisical attitude towards car insurance can diminish your savings in a jiffy if you have not made a wise decision. Fortunately, you can significantly lower your car insurance cost in Kenya by making a few simple changes.
So, here we are going to share some quick tips to save shillings on car insurance Kenya.
Inquire About Discounts
Take some time out and have a word with your agent to see if you are eligible for some discounts. You can have discounts based on several elements used to calculate the premiums of car insurance such as age, credit history, marital status, and the number of children.
Besides, you are eligible for exclusive discounts based on the following criteria –
- Affiliation Discounts – In the event, your insurance company offers collaborative insurance to its members through an affiliating insurance company, they offer exclusive discounts for the employees.
- Safe Car – If you have installed all the latest safety equipment and features in your car, in that case, you will have to pay less.
- Good Driving Records – If you have years of driving experience and you don’t have any claim or car damage, your insurance company will offer you a low insurance rate.
- Low Mileage Discounts – It is believed that when the car is driven for a particular number of miles, it is said to be less involved in accidents. All in all, when you drive less, you also reduce the chances to claim, and eventually, you will have to pay lower premiums.
It is important to be aware of all the specific or special discounts offered by your car insurance company.
Multiple Drivers May Save Money
In case you acquire a quote, from a car insurance company, about insuring a single car, the odds are high that you may receive a higher quote per vehicle than insuring multiple drivers and/or vehicles.
It is imperative that multiple drivers should live in the same house and should have a blood relation. There is a probability that two non-related people can also be offered a discount, but it is important that they own the car jointly.
In case, one of the owners is a teen; then you will have to pay more to insure them. If your kid’s grades are B average or above, then you are in for a discount on the coverage. Talking about the discounts, it can range from 6% to 20 %; therefore, you should have all the proof to show it to your insurance agent that has a bright child.
Incidentally, if you have successfully maintained other policies with the company, the car insurance company may also offer an auto insurance discount. Make sure you have checked if such discounts are there and applicable.
One Month Car Insurance
As the name is self-explanatory, it is an alternative to the standard annual cover. As per 1 month car insurance in kenya, you will be able to drive a car for a month. This type of car insurance will come handy when you are welcoming guests to your house, and you offer them your vehicle to drive. This insurance cover is an apt choice if you are a frequent traveler, motor vehicle trader, and looking to sell off your car.
There are numerous benefits of one month car insurance, here are some –
- You can use this car insurance when you have given your car for repair and maintenance.
- You can also go for one month car insurance when your kid comes home from college for the vacations, and you let him use your car during his stay.
- The best thing about this car insurance is that you get to arrange this insurance cover quickly.
Increase your Deductible
It is your wish to go for higher deductibles. If you go ahead with this decision, it will only help in bringing down your premiums.
Here is the catch, you will have to shell out some extra money for car damages or minor scratches here and there in case of a car accident.
At this stage, you might be wondering how to raise your deductibles? Nowadays, almost every insurance company have an online presence. You have to visit the official website of your insurer, log into your account and you can raise a deductible on your car insurance policy.
Based on various elements, car insurance premiums tend to vary from thousands of shilling to hundred. Therefore, you must inquire your insurer beforehand as what factors influence your car insurance rate.
Make sure you have read your policy in and out to have a better comprehension of what is covered in your policy and what are the benefits you receive within your policy plan.
Opt for a Defensive Driving Course
On completion of an approved defensive driving course, at times, insurance companies may offer you a discount. As a driver, you may also get to reduce points on your license when you opt for such driving courses.
Before you finally go ahead and sign up for a class, make sure you have inquired about this discount. All in all, it is important that the effort is being used and the cost of the course converts into significant insurance savings. Make your best efforts to sign up for a certified driving course.
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Go for Cautious Driving
In other words, you need to drive slow and as safe as possible. Well, it is understood; however, considering the rising in-car distractions, it is worth mentioning again and again.
It is simple, the more cautious you are while driving, the more mishaps or moving violations you will be able to avoid – events which end up raising our insurance rates. Bear in mind, all the points get assessed for moving violations, and more points means higher insurance premiums.
Larger Cars Costs More
You may love the idea of having a huge SUV standing in your garage, that said insuring a 4,000 pound will prove way more costly as compared to a sedan. If you look around, you will find insurers offering attractive discounts if you buy a hybrid vehicle or an alternative fuel vehicle.
If you opt for such vehicles, you will feel contented that you are doing something positive for the environment and saving money on insurance simultaneously.
It will be a smart move to make yourself acquainted with the exact rates charged for insuring different vehicles you are looking for before making a purchase.
Add a Responsible Driver
You may consider yourself an expert when it comes to driving; however, your insurance company may put you in a high-risk category if you have recently passed your test, are below the age of 25, or have previous claims.
In case you belong to any one of these, there is one way in which you may be able to cut down the cost of your quote i.e., by adding an experienced driver to your policy, if they are likely to use the car.
You have to keep in your mind that if you are driving the car regularly, then you should be named as the policyholder.
But if you are adding another driver to gain a cheaper quote, then this is a form of fraud, and it is also termed as ‘fronting’.
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Look Out for Rewarding Premiums
In case your policy is on the verge of renewing, and the annual premium has also gone up distinctly, shop around and put in your best efforts to obtain the quotes offered by other car insurance companies in Kenya.
Every year or two, it does make sense to obtain quotes from other insurance companies, just in case a lower rate is available. Keep in mind that cheap does not always mean good. So ideally you should avoid going with the lower-priced company. And you have also checked the creditworthiness of the company.
The financial strength of your insurance company does play a pivotal role. In addition, what your contract covers have equal significance. So, go through your contract thoroughly and understand what it covers.
Buy Many from One
This is one of the effective ways to gain attractive savings on your car insurance premiums. It means if you purchase more than one policy from the same insurer, then the insurer will offer you lucrative savings on your premiums. You also get to save around 25% on your car insurance premiums.
Boost Your Credit Rating
Most of the insurance companies tend to equate bad credit with a higher probability of filing claims. This means if you have a bad credit score, it will lead to higher premiums. This is the reason; you should give your best to keep your credit rating high.
It is an auto insurance program that makes adjustments based on the number of miles you drive. When you sign up for these programs, you are allowing your insurer to track your driving in exchange for best possible discounts based on three key elements –
- How well you drive.
- How much you drive.
- When you drive.
Coverage You May Not Need
Most of the times you don’t require all the bells and whistles in a policy such as – car rental coverage and roadside assistance. Read your insurance policy in and out, and ask your insurer to remove any coverage you don’t require.
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Pay Your Premium in Full
Choose to pay your premium in full instead of monthly. You can have attractive discounts by your insurer if you choose to pay upfront. Rest assured the savings will be substantial.
If you have installed new wide tires, added new & advanced audio system, installed body kits, and made other styling upgrades, then such modifications mean that there will be a hike in cost of the car insurance in kenya.
Such performance upgrades also draw the attention of the car thieves and moreover fixing modified cars will cost you more as compared to ordinary cars.
Car insurance premiums tend to differ from thousands of shillings to hundreds based on numerous elements. Take your time to read the policy carefully to have a better comprehension of what is covered in the policy and what benefits you are offered within the policy plan.