According to leading insurers, consumers today are countering vehicle operating costs and the escalating gas prices by capitalizing on reducing auto insurance rates. Even though the rates and regulations of car insurance will vary from one state to another, there are key areas that you can control and make adjustments to in order to optimize on quality and price.
1. Check your credit rating – in majority of the states today, the credit rating is a major determining factor that affects insurance rates. An insurer will interpret a good credit as less risky and in turn extend a lower auto insurance rate. Ensure you get your credit rating from different agencies to check for accuracy before you go looking for auto insurance.
2. Look at your accident reports – these can include errors that can cost you a higher rate. Note that accident reports are different and separate from car reports and are likely to affect the decision of an insurer and the auto rates on a cumulative basis especially if you have accidents or tickets down the road.
3. Check Motor Vehicle Report – Just like a credit report that may have an inaccurate date entered; your state driving record can also have a typographical error. Additionally, traffic school credit, tickets, and accident faults are at times never reflected with accuracy in the state data and can really cost you a lot. Look for any errors on your vehicle report from both your insurance carrier as well as the state motor vehicle department.
4. Go for package Rates – you can save a substantial amount by simply packaging all your insurance policies under one company such as your home, auto, and personal liability insurances.
5. Review your deductibles – if you can afford it, a deductible of $500 or $1000 will save you a lot on premiums as it tends to cost you more in the long run if the deductibles are low.
6. Look for Mature – Driver and Good – Student Discounts – you already know that safe driving is normally rewarded by insurers but it’s equally important to ensure your policy provides a good driver discount. There are lower rates extended by most companies for mature drivers of 55 years and above and bright students with an average of grade 3.0 and above.
7. Go for Car Pool Credit – in addition to playing a role in saving the environment if you decide to car pool to the office, your insurer might offer a discount by lowering your premiums.
8. Take driving refresher courses – taking an approved driving safety refresher course can also earn you a lower rate from your insurer. Ensure however that you take a course that your carrier recognizes.
9. Go for security feature credits – ensure you receive low auto rates if you have installed safety features in your car such as anti-lock brakes and air-bags as well as security devices such as alarms.
10. Finally, check auto rates before you decide to buy a car – note that an insurance auto rate will vary from one type of car to another, depending on how expensive it is. The type of car, the size of its engine, the cost of spare parts, among others will all play a role in determining insurance premiums.