Your credit card could be one of the keys to saving on your personal car insurance.
The National Insurance Institute (NI) has released a new report on the effects of car insurance premiums on your credit and savings.
Read more Car insurance companies are using your credit score to make you pay more for the same car.
How much can I save with my credit card?
The NI report estimates the average car insurance premium for 2017 is about $1,100.
For 2017, the NI estimated that a $300 premium would increase your credit limit by $250, or a $600 increase in your savings account by $150.
What happens if I can’t afford my premium?
If you are unable to pay your premium, you will be asked to pay a surcharge on your card.
If your premium is more than the limit, your bank will deduct the difference from your balance and you will get a credit warning letter.
Do I have to buy a car insurance policy from a car dealer?
You can buy your own car insurance online, or through a car dealership.
I need to get a quote on my car insurance, can I get a loan?
You will need to go to a credit reference agency to make a quote.
It may be cheaper to get the car insurance you need through a bank.
If you are going to buy from a credit card issuer, ask them for a car policy statement.
Can I pay for my insurance through my employer or a credit union?
You can pay for your insurance through your employer, but the employer will have to provide you with a car card to do so.
Are my car and car insurance quotes from a bank or credit union reliable?
It depends on what they charge.
The NI has a list of some of the credit reference agencies.
It is likely you will not have a bad experience.
Will the car companies that I pay with my employer provide a car cover?
Some companies have made this offer, but it is not guaranteed.
You will be charged an additional fee if you do not pay the premium.