The benefits of staying loyal to the same car insurance company 14^th September 2021

Are you happy with your existing car insurance policy and making repeat purchases from the same insurer every year? Your busy work schedule doesn't allow you to squander on choosing a new insurance plan or an insurance company every time your car insurance renewal is due. Anyone would know that renewing an existing policy is far easier and uncomplicated than looking for a new insurance company each time.

But do you know that your insurer also offers a certain level of loyalty appreciation to their existing customers? Most insurance companies offer reward points to their "mini-marketers" for renewing their policies, as these customers act as their company's brand advocates. They provide loyalty benefits to prevent policyholders from switching to other companies with competitive premium rates.

This article will explain 3 significant advantages of opting same insurance company for a car insurance renewal.

1. No Claim Bonus (NCB): Do you know that you get rewarded for not claiming your insurance? That's true; you receive the No Claim Bonus (NCB) when you have had a previous policy and have not made any claims during the policy period. The insurance company gives you a discount on your insurance premium as a reward in the form of a No Claim Bonus (NCB).

2. Decrease in Deductibles – enjoy surprising discounts: Few insurance companies offer you a reduction in deductibles for sticking with them. Usually, multiple factors determine the amount of reduction, like the number of claims-free years you have accumulated in your plan. Even in some scenarios, the car insurers entirely wave off your deductible. Meaning you don't have to pay any deductible at the time of the accident. Though it doesn't help you save any premium, you undoubtedly get cost benefits when filing a claim.

3. Buying a new policy – is it necessary? There are many other costs to starting up a new policy. For example, most insurance companies charge new policy process fees and might require a down payment. In addition, keep in mind that you will also lose the benefits at the time of car insurance renewal if you switch to a new insurance company. Therefore, considering the expenses mentioned above, the overall process of changing your insurance company could prove to be much costlier than what you would have initially anticipated.

Whether staying or not with your car insurance company is a personal choice. However, it is also good to get an insurance quote from other companies to keep up with car insurance renewal and market trends. In addition, there are other things to consider like customer service and claim service that are important for your decision.

Loyalty will nurture the relationship between you and the insurance company that will be beneficial for the long run. If you are satisfied with your current insurance company on the above parameters, there is no need to go around checking out new companies and giving up your loyalty benefits.

So, as you prepare to hit the "renew" button, consider these valuable points to get the privileged customer badge from your car insurance company.

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