7 ways to drive car insurance up or down

Changing jobs
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Changing jobs

In the excitement of switching employers, most people overlook the impact job change can have on their car insurance.

Two key factors can affect your premiums -- distance of your commute and business use of your car.

Typically, higher-mileage work commutes demand higher premiums. You may qualify for lower car insurance or be required to pay a higher premium, depending on whether the distance decreases or increases, and by how much.

According to Lankford, if you have a short round-trip commute, such as 5 miles, you may qualify for a low-mileage discount that is commonly set at 7,500 miles per year. If your daily commute changes to 30 miles, you will lose that discount.

Any change in the business use of your personal car can trigger a change in premiums, and it may require a change in liability coverage based on your employer's requirements.

The use of a company car also can affect the insurance on your personal car.

"A company car looks like a gift, but a couple of things probably won't be covered under the company's insurance," Hungelmann says. "For example, a co-worker hurt in an accident is not covered if he sues you. You need to add a rider to your personal (car insurance) policy to cover that."




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