Great Singapore Sale for Car Insurance
Your car insurance is going to be due for renewal and you are expecting a Great Singapore Sale on the premium. You will be disappointed that it happen anything from clothing, groceries, food, IT products, electronics, etc… but not car insurance.
It is common for car insurance companies to compete for your car insurance renewal based on price, however, they will not emphasize on special sale or offer "big discounts." Their rates will not fluctuate like any other consumer goods.
Why can’t car insurance companies give huge discount for car insurance premium?
Responsibility to ensure stability of car insurance premium
Insurance companies want to be competitive and pricing is a critical factor to affect a car owner decision to take up with them but they have to bear in mind that pricing too low will bite them back hard when the claims kick in later in their books which usually have the full effect on the 2nd to 3rd years onwards.
Therefore, they will have to look into factors to determine the premium from specific demographics like age, occupation, driving experience, any named young drivers, type of vehicles and few others. All this critical information will let the insurance companies decide which type of customers they want to take up.
Different insurance companies will offer a lower rate with different benefits to reduce the premium. Therefore, price is not always the factor to take up your car insurance renewal and lower price might not always be good for you. You can always do the car insurance comparison from different online website. So open up your eyes to know what you are buying. (See: What Are The Pitfalls Of Cheap Car Insurance? )
How can you get discount for your car insurance premium
Below are some pointers that insurance companies will offer you a lower premium.
1. Good driving records - Insurance companies will offer 5% -10% discount if you have no traffic offense over the last 3 years.
2. Occupation – Indoor and not using your car for work purpose eg. doing sales visit. (See: Occupation that will reduce your carinsurance premium)
3. No Claims Discount – insurers will give 10% annually till max 50% if no claims.