The cost of your car insurance premium is dependent on many
factors. Some of these are within your control (your credit history and the
type of car you drive), and some are not (such as …

The cost of your car insurance premium is dependent on many
factors. Some of these are within your control (your credit history and the
type of car you drive), and some are not (such as your age and where you live).
If you follow the guidelines in this article, you can keep your insurances
premium as low as possible.

Shop Around – You should get multiple quotes before you
agree to any insurance contract. Get direct quotes from the major companies and
their agents. You should also get a few quotes from online sources and possibly
even talk to independent insurance agents who represent multiple companies.
With a sampling of insurance quotes, you will have an idea of what you can
expect your insurance premium to cost. But don’t decide based on price alone. You
should research each of the companies you are considering. Find out such things
as: do they have a local office near you, what is their process for filing a
claim, do they have a reputation for strong customer service or are they known
for being hard to work with, and are there a significant number of complaints
with the state insurance department. In addition to performing your own
research, you can contact independent rating companies such as A.M. Best,
Fitch, Standard & Poor, Weiss, and Moody’s. These companies rate the
financial strength of insurance companies. You can find their respective
websites by performing an online search.

The company with the lowest rate most likely won’t be the
company with the best service or the most hassle-free method for filing a
claim. It’s up to you to determine what is most important when purchasing your
auto insurance.

When purchasing a new car, compare insurance premiums before
you buy. The difference between insurance premiums can drastically vary from
car to car. So, before you get your heart set on a particular brand and model,
you should compare insurance costs on several cars that are similar to the one
you want. You might find the car you are in love with carries a substantially
higher insurance premium than another model.

Higher deductibles – The higher the deductible you choose
for each form of insurance, the less that particular premium will cost you for
the year.

Use the same insurance company for all your insurance needs
– Insurance companies will give discounts if you purchase multiple forms of
insurance from them such as Life Insurance, Auto Insurance, and Home Insurance.

Low-mileage discounts – Most insurance companies offer discounts
for motorists who drive less than the average number of miles on a yearly
basis. This is especially true for antique or collectible car policies, which
usually have insurance programs designed specifically for low-mileage use.

Unless it’s an antique, don’t purchase comprehensive or
collision – If you drive an older car and its cash value is low, it might be a
good idea to avoid the comp and collision policies altogether. Unless the value
of the car justifies paying for the high premiums, it’s much more economical to
simply forego those particular insurance options.

Safe driver discounts – There are insurance companies who
specialize in providing discount policies for safe drivers. If you have an
impeccable driving record, you should seek out those insurance companies who
reward good drivers.

Inquire about discounts – Some discounts are not
always advertised and the only way you will find out about them is to ask. Some
of those discounts include: student drivers with excellent grades, anti-lock
brake systems, low annual mileage, drivers who are 50+ years of age, no
accidents in 3 years, no moving violations in 3 years, higher deductibles, multiple
car discount, daytime running lights, anti-theft device. This list is by no
means complete. You should ask your insurance specialist if there are any
discounts that may apply to you.

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