How To Reduce Your Car Insurance Cost After An Accident

Despite all of our best attempts, car accidents happen. Whether they're our fault or we're the ones who are hit at a traffic light, more than likely both car insurance policies will be impacted. As unfair as it sounds, getting in an accident - even if it wasn't your fault - means that your policy holder will see you as more of a risk for a policy payout, and they'll charge you more. So, if you've been in an accident and found that your renewal rate has skyrocketed substantially enough to make you want to seek other options, here are some tips to help you make the most out of it.

Something to think about before the accident

When you are first signing up for car insurance, consider asking specifically for a policy that includes NCD (No Claim Discount) Protector. This is a coverage that will ignore your first accident so that your NCD will be protected. Eg. You have a NCD of 50%, if you did not have NCD Protector, your NCD will drop by 30% to 20% but if you have this coverage, the NCD of 50% will remain intact and you will enjoy this discount for your upcoming renewal. That can help especially worried drivers.

Tips for reducing your car insurance premiums after an accident

If you're looking for some ways to keep your premiums down upon policy renewal, insurance company like NTUC insurance recommends the following options:

  • Report any and all accidents: This seems obvious, but you'd be surprised how many people don't. Whether you tap the car's nose against a parking block, clip your sister's car by mistake in the driveway or just hit a mailbox, any and all accidents and collisions should be recorded formally with your insurance company. While you may not want to, it's important that they know about all changes to your car that you're insuring. If they find out after the fact that you didn't disclose the accident or due to late reporting, your NCD will be penalize by 10% for your upcoming renewal. Accident reporting is important because it provide the current insurer the necessary evidence of the photos or video footage that you capture as an evidence to prevent any forgery or exaggerated claims that the third party will claim against you.
  • Take a driving course: While taking a driving course is a great idea when you are a beginner driver to help with your rates, you can also take a look at refreshing your skills after an accident. It signals to your provider that you are interested in improving your driving skills after your accident and they may choose to only increase your rates a little bit, if at all. Plus, a refresher is always a good idea, right? So, it's a win-win for both parties.
  • Increase your excess: Another option to help keep your car insurance in Singapore manageable is to increase the excess that you have. It's a surefire way to keep your monthly premiums low and it can help counteract any hikes in your policy rate as well, since there isn't anything you can do about their decision to hike them.

Seeing those monthly premiums increase due to an accident - especially if you were not found to be at fault - is frustrating but you can do your own part of counteract those increases by the tips above. If you are looking at saving yourself some money, you can visit us at . We have helped numerous clients save money on their car insurance and also give valuable feedback on how to deal with any accident claims.

Contact one of our representatives to get your personalized quote immediately, our team will be more than happy to respond to all of your questions.

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