So I finally managed to save a decent bit of money while changing car insurance! I hadn’t realised it was possible, but my sister mentioned that she’d gone for no down payment car insurance and helped me search. I was a bit worried that there’d be some kind of ‘catch’ – maybe the coverage would be worse or something, but actually, it was really simple. The major difference was a slightly higher monthly rate or a slightly higher higher deductible. I’m also really thankful for online searching now, because being able to filter policies based on what features I want and don’t want made the whole thing much easier. Rather than having to trawl through all the policies with down payments, I could just filter them out of my list and see the ones I wanted. Definitely a huge time save, here it is if you need it by the way http://www.insurancecaffe.com/no-down-payment-car-insurance/. Plus, you can tweak you requirements as you go, meaning if you change your mind about the deductible or realise you can pay a bit more each month to avoid the deposit, you don’t need to start from scratch. Absolute lifesaver.
I guess for some people this is less convenient, but I don’t mind paying a little bit more each month to avoid a big one off payment- I still don’t have much in my savings despite a decent wage, so this way means I don’t have to clear my savings out to get started! I’m also less worried about having to manage a deductible if anything does happen, because I’m keeping that money in my emergency fund.
I’d just always assumed that down payments were part of how insurance worked, so I was pretty pleased to find out that they’re actually just an option. I can see the appeal of them – if you have that money upfront, it’s useful for reducing monthly payments, but given I’m still building up my savings, I’m glad I didn’t have to.
The best thing is, I can stop worrying for a bit – my last policy wasn’t great, because I’d just gone with the first one I could find, but having spent more time researching I’m confident in what this covers, and feel much better about it. I’m not worried about the deductible costs due to the extra savings, and I know what I’m actually getting for the money I’m spending.