Tips to Lower Your Auto Insurance
Insurance policies are expensive and even more so in major metropolitan areas. It would not make sense to move just to lower your insurance rates. But, if you decide to move to a rural area, to be sure your rates will be significantly lower. Insurance is based on a complex formula of risk. There is less risk of your car being stolen or being crashed into in a rural area. Hence the lower insurance rates.
When deciding upon a car, remember that a new or newer car would need collision. It is not mandatory, unless it is being financed, but it would be beneficial to be covered for damages from a crash. The premium would not be worth it if the car was older than four years of age. In addition you will probably take a deductible (that is the amount you will pay out-of-pocket, of around $500), otherwise full collision coverage is prohibitively expensive.
It would be a good idea to take minimum coverage, if you are a safe driver. This would include personal and property damage. It is relatively inexpensive to take road service, in case you are caught in the middle of nowhere. You can forgo this coverage if you belong to the AAA (American Automobile Association).
Do not forget to tell the agent or the online registration automated quote section, that you are a homeowner, if you are, and that you are married. This will cut your premium. Take a defensive driver course every three years to shave off a percentage of your premium. A motorcycle safety course also counts as a defensive driver course.
Back to your car of choice. If you purchase what is called a “muscle car” or high-performance type of car you will pay more. People who purchase these cars tend to be more reckless. Certain classes of luxury cars will also cost more to insure. These cars are prime targets of theft. Speaking of theft and fire damage, this goes under your comprehensive section of the insurance policy. It is best here too to take a $500 deductible.
Assuming your car is an economical car, this would be a lower rate than for example a Hummer. Your drive to work is short and you do not use the car all that much, if this is the case you will also pay a lower premium. Speeding tickets will raise your rates considerably. I will not even mention drinking and driving as it relates to rates and what can result from such reckless behavior. The younger you are and the less driving experience you have will put you in the “assigned risk” category, again considerably hiking your insurance rates.
Through experience Progressive Auto Insurance is quite competitive. They answer the phone in a timely fashion with personable employees eager to answer your questions and address your concerns. Their website is user friendly and they insure a wide class of vehicles.
Keep all the aforementioned tips in mind to lower your car insurance when engaging an insurance company. Do not try to save a few dollars with a company having a bad reputation or you are not comfortable doing business with.