| -- End Ad Box ---> | | | | motorist, collision, and comprehensive coverage. |
| Nowadays, auto insurance is really expensive. A | | | | Drop collision and comprehensive coverage for older |
| typical insurance policy can cost a few hundred dollars | | | | cars. If you drive an older car that's worth less than |
| to a few thousand dollars a year. And the insurance | | | | $2,000, it's probably more cost-effective to drop |
| rates you pay are hugely dependent on the insurance | | | | collision and comprehensive coverage since you'll |
| company or agent, your age, your car type, your | | | | probably pay more for the coverage than you'll collect |
| driving record, and even the area you reside in! | | | | for a claim. You can find out the worth of your car by |
| You should never go without auto insurance though, | | | | asking auto dealers and banks. |
| despite the costs. Almost all the states require you to | | | | Make sure your credit report looks good. Car |
| protect yourself with a minimum amount of liability | | | | insurance companies often look at your credit history |
| coverage. Naturally, the bare minimum is not adequate | | | | as there is a correlation between the risk to the |
| enough for the average car owner. And as you add in | | | | company and your credit history. If you pay your bills |
| additional coverage for your car, you realize that you | | | | on time and maintain a good credit history, you can |
| will be paying a fairly large sum annually. | | | | enjoy lower insurance rates. |
| So, understanding auto insurance can actually help you | | | | Drive less. Insurance companies often offer |
| to decide on a suitable insurance policy that won't | | | | low-mileage discounts to motorists who drive less than |
| vacuum clean your wallet! Here, we have gathered 10 | | | | a predetermined number of miles each year. You can |
| of the best tips for lowering your auto insurance, by as | | | | use public transportation more often, car-pool with |
| much as 40%! | | | | friends, and take the train or a plane instead of driving |
| Always compare insurance policies. There are states | | | | to another state. And you'll save on more than your |
| which regulate auto insurance rates, but the insurance | | | | coverage as you'll need to spend less on gasoline (of |
| premiums can vary by hundreds of dollars for the | | | | which prices are incredibly high). |
| exact same coverage. It is definitely worthwhile to | | | | Maintain a clean driving record. The company will give |
| shop around. The first thing you can do is to check | | | | you a price break and you can save on your |
| with your state insurance department. They often | | | | insurance policy after a specified period of a clean |
| provide information about the coverage you need, as | | | | driving record. This means that you have no accidents, |
| well as sample rates from the biggest companies. You | | | | no serious driving violations etc, during this period of |
| can also ask your friends or look up the yellow pages. | | | | time. The simplest and surefire way to qualify for this |
| Checking consumer guides and asking insurance | | | | discount is to drive carefully and defensively all the |
| agents can pay off as well. You can easily find out the | | | | time. |
| price range for your insurance policy, as well as | | | | Choose a low-profile car. Insurance rates vary among |
| discover the lowest prices in town. | | | | difference models of vehicles. Generally, sports cars |
| However, you should not be shopping based on price | | | | and high-performance cars tend to cost more to |
| along. The insurance company should provide good | | | | insure, mainly because they represent more risk of |
| service at the best price. Excellent personal service is | | | | theft and the drivers are often the people who drive |
| available as well, and they provide added | | | | more recklessly. Newer cars will cost more to repair |
| conveniences, although they cost a fair bit more. Ask | | | | or replace than older ones, so naturally they can more |
| the company how you can lower your costs, and also | | | | to insure. Low-risk vehicles include station wagons and |
| check their financial ratings. The rule of thumb is | | | | sedans. |
| always to get three price quotes from three different | | | | Ask about safety and security discounts. The |
| companies, and pick the one with the best value. | | | | insurance companies sometimes offer discounts on |
| It can also be a good idea to increase your deductibles. | | | | your insurance if your car is equipped with the |
| When you file a claim, the deductible is the amount you | | | | following: anti-lock brakes, air bags, automatic seat |
| pay before the insurance company pays for the rest | | | | belts, car alarms, tracking systems. These reduce the |
| of the damage. A higher deductible on collision and | | | | injury risk to you, as well as the chances of your car |
| comprehensive coverage can lead to a much lower | | | | being vandalized or stolen. |
| premium. For example, increasing your deductible from | | | | Finally, ask about other discounts. You may receive a |
| $200 to $400 can reduce your premiums by up to | | | | discount if you buy more than one type of insurance |
| 25%. However, you must ensure that you have the | | | | from the same company or if you insure multiple cars |
| financial resources to handle the largest deductible | | | | under the same policy or company. You may also |
| when the time comes. | | | | receive discounts for taking a defensive driving course, |
| Remove certain types of coverage from your policy. | | | | staying with the same company for a few years, |
| Almost all the states require liability coverage for your | | | | being a driver over 50, good-student discounts, and |
| car, but the rest of the coverage is probably | | | | being an AAA member. If you already have adequate |
| dispensable. However, you do not want to be | | | | health insurance, you can also eliminate paying for |
| underinsured if you're in an accident, so it isn't advisable | | | | duplicate medical coverage, thus lowering your |
| to remove all of your additional coverage. Optional | | | | personal injury protection costs by a substantial |
| coverage includes medical payments, uninsured | | | | amount. |