You can find cheap and reliable insurance

The end of the year is approaching and we already need to think about financial commitments for 2019. Among them, taxes and car insurance. Is there a cheap and reliable one?

You are definitely one of many who will be looking for cheap and reliable car insurance. Does that exist? Cars in Brazil are among the most expensive in the world, in proportion to the average income of the population and even in comparison with prices sold abroad. The price is high at the time of purchase and the cost is high for maintenance.

Due to the great distances of a continental country, where public transport does not reach all regions and in cities the subways have limited lines, cars have become a basic necessity. In recent decades, cars have come to represent, after home ownership, the majority of the wealth of families and individuals.

Currently, protecting the value of your car through insurance has become increasingly important, so that you can work and sleep peacefully, without fear of the increase in crime, especially cases of theft. Therefore, consumers seek financial security by taking out car insurance.

It is possible to find some cheaper and simpler car insurance options. Despite this, around thirty percent of vehicles in the country are insured. This statistic shows that most people drive around with their cars unprotected. It would be important to consider an affordable option so that you don't end up without insurance.

Among the reasons that lead the majority to remain without insurance is the high prices of policies, taking into account the average Brazilian income, which in 2017 was R$1,268, and in São Paulo this value increases to R$1,712 and in Rio de Janeiro is R$1,445. Added to this is the fact that for young policyholders and those living in regions with high claims rates, the value of traditional insurance increases to the point of becoming impractical.

Furthermore, with the economic crisis, consumers left aside the expense of car insurance, to adjust the family budget. But there is also the case of cars that are in the highest risk group, most sought after by criminals and cars that are more than 5 years old, when the insurance value increases disproportionately.

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Auto Insurance Made Simple: A Cheap, Reliable Option

Simplified insurance alternatives are linked to the installation of trackers, which allows a high recovery rate in the event of vehicle theft, which lowers the price of the policy. Currently, the company that works in this segment and is the leader in the Brazilian market is Ituran, a multinational that has the best recovery rate for stolen and stolen vehicles in the country.

Insurance with the best value for money

A survey by the Proteste Consumers Association defined some of the insurance products with the best value for money, according to insured profiles and car models, in different capitals in Brazil. The survey raised prices in Porto Alegre, Rio de Janeiro, Belo Horizonte, São Paulo and Salvador, including the following insurance companies: HDI, Itaú, Azul, Sompo, SulAmérica, Allianz, Mapfre, Porto Seguro, Liberty, Tokio Marine, Bradesco Auto/ RE and Zurich.

HDI car insurance was indicated as the best value for money, despite not being the best for all profiles considered. Other insurers that stood out in terms of cost-benefit were Sompo, Azul, Bradesco Auto/RE, Mapfre and SulAmérica.

The cost-benefit was analyzed according to the price charged for the insurance and the assessment given by the client to the insurance company, regarding the degree of satisfaction. 1,570 Proteste members participated, between December 2016 and January 2017. The criteria considered were: the contract, call center service, insurance company website, coverage and transparency. Consumer profiles took into account age, sex, model and year of manufacture of the vehicle, brand, residence address, which are items that influence the insurance budget.

The insurance included in the research was basic coverage, which covers damage caused by theft, theft, collision and fire and flooding, additional coverage, with 24-hour assistance and additional coverage for personal damage, personal accidents of passengers, death or disability.

Results obtained

The results of Proteste's analysis indicated that the consumer can save up to R$4,518 per year. This difference occurs if a resident of the city of São Paulo, with 22 years of driving license, chose the insurance offered by Sompo, costing R$ 1,757 per year, instead of the HDI insurance, which costs R$ 6,275 per year, for an HB20 car Comfort 1.0 Flex, 2015, used daily.

This difference demonstrates how worthwhile it is to research different insurance companies before choosing to purchase insurance. It is important to be aware of what the insurance does not cover, because many coverages are not included in the protection, which has caused several insurers to have a negative evaluation. Even the best evaluated ones performed poorly in this criterion, according to Proteste. Another item that tends to cause a headache is the value of the deductible, which is high and requires the consumer to pay a large amount in the event of an accident.

It is important to pay attention to the value of the deductible when deciding on insurance. The consumer only does not pay the deductible if the loss exceeds 75% of the amount contracted for full compensation or in the case of fire, explosion and lightning strike, even in the case where the damage was partial.

The companies evaluated had good concepts regarding 24-hour assistance, which usually includes towing and accommodation. But the Porto Seguro insurance company stood out for offering a spare car at no additional cost. More information about the comparison between insurance companies in terms of the best value for money can be found on the Proteste website.

According to the institution, to reduce the cost of the policy, the consumer can propose a higher deductible value. The higher the deductible rate, the lower the insurance value will be. Coverage that does not include optional civil liability (RCF-V) and passenger personal accidents (APP) also makes the policy cheaper. Another way to save is to install trackers or blockers in the vehicle. These are security items that usually reduce the price of insurance by up to 30% and must be listed in the contract proposal.

Storing the car in a closed garage and closed parking lots is also a factor that reduces the cost of insurance, as well as paying for the policy in cash. According to a specialist from the company SegurançAjato.com, monitoring cameras and alarm systems in the home make a difference in the insurance quote. Automatic garage doors can also cause the policy value to drop by around seven percent. The automatic gate, in addition to the convenience it provides to the driver, offers greater security, because the driver does not leave the car to open the gate, which keeps burglars away. This detail eliminates a risk factor and provides a discount.

*This text is editorial content and does not guarantee the sale of this product on this website.