Car Insurance Premiums: Ways They Could Be Lower

If you're looking to reduce your auto insurance rates, there are a number of things you can do. The first and most obvious is to contact your insurance carrier and find out what kind of discounts they offer. But then what? What if you're wanting to move to a new insurance carrier, or just bought a car and are just starting a new insurance policy? There are a number of things that many auto insurance companies accept for insurance deductions. Many deductions are not advertised by the company, so you may have to specifically ask if certain things can result in a deduction.

First, all of the top auto insurance providers offer some kind of discount for a driver's education course. The kind of course may differ (i.e. general driving skills for a newly-licensed teenager or a defensive driving course for seniors), but it's always worth checking if any kind of driver's education received can mean a lower insurance bill.

To encourage compliance with seat belt laws, many companies are now offering a discount on the medical or bodily harm portion of the insurance if seatbelts are worn at all times. Many companies require no proof beyond requesting the discount, though the discount will be lost if any tickets are received in which drivers or passengers were cited for not wearing a seat belt.

Safe driving is an obvious one. The fewer negative items on a driving record, the lower the insurance premium. Some companies have also begun giving discounts for driving safely and having no traffic citations within a given period of time. Little can be done about items already on the driving record, but care can be taken not to repeat the mistake in the future and having a driver's education course on record may help alleviate the penalty.

Maintenance and upgrade discounts are sometimes given for safety-related upgrades on vehicles. This is another one not often advertised, but that is worth asking insurance carriers about.

The number of miles driven during a policy period can affect the premium. Additionally, the age and type of car can also adversely affect the cost of insurance. Even certain colors, such as red or bright yellow, can affect car insurance because of the high instances of like-colored cars in accidents. Sports cars, muscle cars, and vehicles with modified lift, exhaust, and engines may also see a higher premium than stock varieties. For those shopping for a new vehicle who are concerned about these penalties, a call to the insurance agency may shed some light on the best insurance-friendly vehicles to buy.

If there are multiple vehicles in the home, make sure they're all insured under the same policy, if possible. Many insurance companies give hefty multi-vehicle discounts, many in excess of 20-30%, so those with two family cars or driving teenagers in the house may benefit from consolidating a bit.

Check your local insurance agencies for other possible discounts and include these considerations when you're shopping around for insurance. Some areas have discounts that are not available in others, and each insurance agency will have different policies and available discounts.