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