How To Save Money On Commercial Auto Insurance

by Administrator 17. April 2013 08:31

Commercial auto insurance is a necessity for any business that owns bulk vehicles. While it seems to be an unnecessary expense from a business owner’s point of view, the long-term financial benefits cannot be overlooked. The trick is to get an auto insurance policy that offers sufficient coverage within an affordable budget. The following tips guide you on how to save money on commercial auto insurance.

  • Opt for a higher deductible- The amount of deductible you choose plays a key role in determining the annual premium on your auto insurance. Choosing a higher deductible means that you will have to pay a higher amount of money in case of an accident or any other insurance-related expenses. However, you can benefit from a lower annual premium, which means greater savings in the long run.
  • Have a single insurance provider- It is advisable to choose a single insurance provider for all your insurance needs. Also opt for a joint policy for your personal auto insurance and commercial auto insurance. Most Austin-based auto insurance companies offer discounts to customers who opt for more multiple insurance schemes.
  • Save on administration fees- Making a few modifications on your mode of payment can help to cut down on the administration fee on your commercial auto insurance, bringing down your overall insurance premium significantly. You can do this by paying the entire insurance amount in one go. Not only does this reduce the total amount paid on interest and administration fee, but some insurance companies in Austin, TX also offer up to 10% off to customers who pay the insurance fee in a single go. Another way to save on administration fee is by paying through EFT (Electronic Funds Transfer).
  • Get quotes and research- Finally, as is the case with any other insurance plan, it is always a good idea to request quotes from various companies before settling for one. If you do not want to increase the deductible, you can explore other options like decreasing the collision or choosing a comprehensive coverage plan. A three-year policy for commercial vehicle insurance usually ends up being more affordable in the longer run as compared to annual ones.

Make sure that you have all the groundwork done before you apply for an insurance policy for commercial vehicles, right from claims history to driver records.

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