| Most people complain about the cost of their auto | | | | You may be eligible for a price break on your policy if |
| insurance--hardly surprising, given that a typical policy | | | | you maintain a clean driving record for a specified |
| costs at least several hundred dollars a year. | | | | period (usually three years). A clean driving record |
| Depending on your age, driving record, and other | | | | generally means no accidents, moving violations, drunk |
| factors, your annual premium can be significantly more | | | | driving convictions, etc., during that period. The best |
| than that. So how can you lower your premium and | | | | way to qualify for the applicable discount is to drive |
| save yourself money?If you own a car and drive it, | | | | carefully and defensively at all times.7. Buy a |
| going without insurance is generally not an option. In | | | | low-profile car. |
| most states, you are required by law to purchase a | | | | Cars are rated on a risk scale for auto insurance |
| minimum amount of liability coverage. And you should | | | | purposes. In general, sports cars and other |
| probably have more than just the bare minimum if you | | | | high-performance, flashy vehicles are classified as |
| want to provide yourself with adequate protection. | | | | higher risks because they are common targets for |
| There are steps you can take, however, to reduce | | | | thieves and vandals, and because statistically, the |
| your auto insurance costs without having to cancel | | | | people who own them tend to drive more recklessly. If |
| your policy. Some or all of these steps may be | | | | you own such a vehicle, you will likely pay a higher |
| appropriate for you, depending on your circumstances. | | | | premium than if you owned a station wagon, sedan, or |
| Specific ways to save money on auto insurance: 1. | | | | other low-risk vehicle.8. Move. |
| Shop around. | | | | If you live in a rural community with little crime and |
| One of your first steps should be to shop around. A | | | | traffic congestion, your premium will generally be lower |
| particularly good time to investigate your alternatives is | | | | than if you live in an urban area where your car is |
| when your current policy is about to be up for renewal, | | | | more likely to be stolen, vandalized, or involved in an |
| especially if you find that your premium has gone up. | | | | accident. Granted, you shouldn't move just to cut your |
| You may be surprised to learn that auto insurance | | | | auto insurance costs. However, this may be one of |
| premiums for the exact same coverage on the same | | | | many factors in your decision if you're thinking about |
| car can vary widely (by hundreds of dollars) between | | | | relocating from the country to the city.9. Keep your car |
| different insurers, even in states that regulate auto | | | | in a garage. |
| insurance rates.2. Increase your deductible. | | | | Cars parked in garages are less likely to be stolen, |
| For many people, raising the deductible on their is a | | | | vandalized, or struck by other vehicles. Using a garage |
| good way to cut the cost of the policy. Sometimes | | | | to store your car may entitle you to a slight premium |
| you can reduce your annual premium by 10 percent or | | | | reduction.10. Have safety/anti-theft devices installed. |
| more if you increase your deductible from, say, $250 | | | | CYou may receive discounts on your insurance if |
| to $500. If you do this, however, make sure you have | | | | your car is equipped with one or more of the following |
| the financial resources to handle the larger deductible | | | | options: anti-lock brakes, automatic seat belts, and |
| when the time comes.3. Keep an eye on your credit | | | | airbags. Similarly, anti-theft devices such as car alarms |
| report. | | | | and tracking systems (e.g., Lojack) may also get you a |
| Your credit history is an important factor for most | | | | discount because they reduce the chances of your |
| auto insurance companies. Many studies have shown | | | | car being stolen or vandalized.11. Inquire about |
| a correlation between your credit history and the risk | | | | multifamily/multipolicy discounts. |
| to an insurance company. Paying your bills on time and | | | | You may receive a discount from your insurance |
| maintaining a good credit history will allow you to enjoy | | | | company if you buy more than one type of insurance |
| lower auto insurance rates.4. Drive less. | | | | through that same company (e.g., auto and |
| If you drive less than a certain number of miles in a | | | | homeowner's). A discount may also apply to your auto |
| year (e.g., 7,500), you may qualify for a low-mileage | | | | insurance if you insure multiple cars under the same |
| discount. If your insurer offers this discount, try to limit | | | | policy or with the same company.12. Other discounts |
| your driving as much as possible. If you commute to | | | | Other discounts may be available if you meet certain |
| work, use public transportation instead of driving. When | | | | criteria. Examples may include discounts for taking a |
| you go away on vacation, fly or take the train.5. Don't | | | | defensive driving course, being a AAA member or |
| use your car for business purposes. | | | | staying with the same auto insurance company for a |
| Since work-related driving generally subjects you to | | | | number of years. These discounts vary by |
| higher premiums than pleasure driving, it may be in your | | | | company.Please note that this description/explanation |
| best interest to stop using your car for business | | | | is intended only as a guideline.For more information |
| purposes.6. Drive more safely. | | | | about auto insurance please go to: Insurance. |