5 Factors That Affect Dodge Challenger Insurance Rates
When it comes to paying the car insurance premium on your Dodge Challenger each month, itís not always apparent exactly how your insurance rates are calculated and what factors determine the overall cost of your coverage. While it may be easier to just pay your bill each month and save your energy for more important issues, you could end up losing out on hundreds of dollars a year in savings that can come from having a basic understanding of how insurance rates are determined and the simple steps you can take to lower your insurance bills. Here are some of the quickest ways to start saving money on your car insurance today:
Raise YourDeductible: If you donít already know, your deductible is the amount of money that you have to pay out of pocket for damages before your car insurance company starts reimbursing you. By simply raising your deductible from $500 to $1000 (or even $1500), you could lower your monthly payments by as much as $50 a month (or $600 a year). Be careful though. If you donít have enough savings to cover repairs to your vehicle in case of an accident, you may end up in worse shape than before.
Reconsider Your Coverage: While each state may have their own requirements for the minimum amount of car insurance coverage you are required to have, after that, itís up to you. While collision and comprehensive coverage may give you peace of mind when insuring a brand new Dodge Challenger, if your car is a few years old and has some wear and tear on it, this added coverage may not be worth the extra cost. As a rule of thumb, if your vehicle is worth less than 10 times the total of your collision and comprehensive coverage premium, itís probably safe to remove that coverage from your policy.
Get Discounts: Car insurance companies offer a number of different discounts to drivers who qualify. From discounts for having a clean driving record, taking a defensive driving course or installing the latest anti-theft devices, to discounts for insuring multiple cars on one policy or bundling your car insurance and homeowners insurance policy with the same company, these discounts can add up to a good chunk of savings on your car insurance premium.
Comparison Shop: †Most people end up sticking with the same car insurance company for the entire life of their car because they canít be bothered with the hassle of switching carriers. Donít be one of those people. The Internet makes it easy to compare quotes from multiple companies in order to find a better rate. Try doing a quick search for car insurance quotes every six months or so to see if you can find a better deal. While switching companies may take a little extra time, the money you can save will make it worth it in the long run. †
Avoid Installments: While it may seem easier to pay your car insurance premium in monthly installments (in order to avoid the shock of paying the entire premium up front), most insurance providers tack on an installment fee of $5-10 onto each monthís bill. While it may not seem like a lot, those fees can add up to over $100 a year in added costs to your premium. If you can afford it, pay your premium in full at the beginning of your policy date.
Purchasing car insurance for your Dodge Challenger is a fact of life Ė thereís no getting around that. But you do have control over a number of the factors that contribute to the overall cost of your policy. Whether youíre looking for coverage for your brand new Challenger or just looking to re-examine the coverage on your used workhorse, the tips above will help you keep more of your hard earned money exactly where it belongs Ė in your wallet.