Insurance is a means of sharing risk so that insurance companies have enough money to pay claims in the event of a loss to one of their policyholders. Since certain drivers are at a greater risk of getting into an accident than others, California auto insurance policies often cost more for these people than for low-risk drivers. There are ways to overcome high California automobile insurance premiums for high-risk drivers, and the following represents just a few of them.
Ask About Discounts for Good Grades
Young people under the age of 25 represent one group of high-risk drivers. Fortunately, many California car insurance companies will discount their otherwise costly premiums for these drivers if they have good grades. Young people in college or high school should ask their insurance agent about these discounts, as good students often get the cheapest car insurance in California.
Ask About Multiple Policy Discounts
It is also fairly well known that California car insurance can be cheaper for those who insure both their homes and their cars, trucks, or motorcycles with the same company. If the auto insurance company also offers California homeowners insurance, it is wise to get the insurance agent to investigate whether any deals are available to those who buy car and house insurance from the same company.
Consider Insuring More than One Car
Finally, insuring more than one car on a California automobile insurance policy can also lead to greater savings on premiums overall. Students who are still living at home should consider getting on the same insurance plan as their parents, as that can save them money on their California car insurance. Those who are on their own can also save money if they put all the cars in their household on the same policy.