How to reduce your car insurance costs

Let’s imagine that at this very moment you are paying big sum of money for your car insurance. And you ask a question to yourself whether it is possible to get better rate from another insurer than you have now from your company. So why not take on hour to analyze all possible variants of your insurance policy and choose the best one?

Nowadays it is really very expensive to have car insurance and not every average American can afford it. Typical insurance cost varies from several hundreds to several thousand dollars a year. There are many factors that influence the insurance rates you pay: insurance company, agent, your age, the type of your car, and even the area you live in.
But despite the cost you can’t do without car insurance. This document is demanded almost in every state. The insurance minimum itself is not always acceptable for an ordinary car owner and if you add to this sum the car coverage it will makes up rather a large sum annually.
So it is just necessary to choose the most acceptable insurance policy which won’t hurt your wallet. Here we want to draw your attention to 10 useful tips which will help you to insure your car and save money at the same time.

1. Analyze several variants. The prices for auto insurance vary from company to company
so you’d better look through several variants. The information can be received from the company directly or by Internet ask your friend or read yellow pages. You should keep in mind any source of information matters. Also you may make request for quotes at your State Insurance Department as they always provide the price comparison.

2. Do Not Shop the Price Only. Remember you need that company which provides
the best quality for the most acceptable price. That’s why it is necessary to investigate the terms of every company very carefully. You should remember that to get the information is your integral right So choose an agent or representative of any insurance company who will take the time to answer your questions. Then get price quotes from different companies, compare them and choose the most acceptable.

3. Choose Higher Deductibles. It also may be useful to increase your deductible. When you file a
claim the deductible is the sum you must pay before the insurance company pays the rest of coverage. A higher deductible can lead to much lower premium. For instance, increasing your deductibles from 200$ to 500 $ will reduce your collision coverage premium by 15 to 30 percent. Going to 1.000$ deductible will save you 40 or even more percent. But you must be sure that you’ll be able to pay the sum of higher deductible if necessary. Also you should analyze your coverage content and exclude everything you don’t really need. Optional coverage includes medical payments, uninsured motorist, collision, and comprehensive coverage.

4. Compare Insurance Costs Before Buying a Car. Buying a new or used car you can
approximately count the future insurance costs. They depend on the car’s sticker price, the cost for repair and the likelihood of theft. A lot of insurance companies offer a considerable discount for factors that reduce the risk of being damaged or theft (anti-theft devices, for instance).

5. Exclude Coverage on Old Autos. If you are an old car owner you should consider your
insurance policy especially carefully. At first you must know the precise price of your vehicle. You can get this information from auto dealers and banks. In case your car’s price is less 10 times than the premium the insurance may be not efficient as you can pay more for the coverage than you’ll get for a claim.

6. Buy Several Types of Insurance from the Same Insurer. Some insurance companies can give
you a discount if you buy from them two or more types of insurance. Also you get a discount if you insure more than one vehicle with the same company. Additionally some companies reduce the insurance rates for long-time clients. But still be careful and shop around as you can save much more money with different insurance companies than with one multy-policy discount.

7. Pay Attention to Your Credit Record. If you have a solid credit record this may reduce your
insurance costs. Today credit information greatly influences on US insurance policies. To create a positive credit standing pay your bills on time, don’t get more credits than you car afford and watch your credit balances to be as low as possible. You should regularly check your credit history and in case of any mistake correct them immediately so that your record be accurate.

8. Low Mileage Insurance Policy. Try to drive less as many insurance companies offer discounts
to those car owners who drive less than average number of miles a year. So use public transport more often, car-pool with friends and travel to another state not by your vehicle but by train or plane. In this case you will spend less money on gasoline which is incredibly expensive today.

9. Use Group Insurance. Some companies may offer you discount if you get insurance through a
professional, business groups or other associations. Discuss this variant with members of the group or club you belong to.

10. Maintain a Good Driving Standing. If within a certain driving period you have no accidents, or serious driving violations your insurance company can give you a considerable discount for your clean driving record. So drive carefully all the time and you’ll save money on your insurance policy. You can also look for other discount insurance programs. For instance, you can get a discount if you have a defensive driving course. If you are a young driver with a good driving education got at a college or at courses you may reckon the insurance discount.

As a final note, if you are already suffering from high insurance rates keep this in mind next time when you buy a new car. The more expensive the car is the higher the insurance costs will be. The matter is in the fact that these cars are very often stolen and extremely expensive to repair. All these factors are kept in mind by the insurer when he she sets the insurance rates for your vehicle. What do you prefer to get kicks of driving a high-profile car or of saving your money on auto insurance?

Your driving record and car insurance rates
Accident with a pedestrian