Auto Insurance Savings: Tips for Lowering Your Premium

It's not exactly cheap to drive and maintain a car these days. As gas prices waver up and down and salaries fail to keep pace with inflation, it seems we're all looking for ways to cut costs.

For those of us who drive, auto insurance is a necessary requirement enforced by law. Though we hate paying what we sometimes feel are outrageous premiums, the financial protection we gain from those policies is a trade-off we just can't live without.

Just ask anyone who's been involved in an accident lately.

But there is good news. As this mobile society struggles to keep up with increasing costs, auto insurance premiums have finally begun a downward trend.

According to one reliable source, the average auto insurance premium fell almost 2 percent last year, to an average of just over $2,300 per household.

That may not sound like much, but it translates to an average savings of $60 a year.

If you weren't one of the lucky ones who got a pleasant surprise when your auto insurance policy renewed this year, don't despair. You can still save money on your premium by following a few simple steps:

1. Comparison Shop. If you have a good driving record and/or buy a safer car, your premium should go down. Plus, with some companies now charging lower rates, increased competition means better auto insurance rates for you! Take advantage of online marketing services like InsureMe.com to find the best auto insurance rates from competing insurers.

Find out what your insurance will cost before you buy that new car. Auto insurance companies typically charge more for cars that are expensive to repair or don't fare well in accidents. So before you drive off that lot, make sure your new car is considered safe, and relatively cheap and easy to repair by your insurer. This will help minimize riskfor both of you!

Ask your insurer for discounts. These cost-savers can lower your insurance premiums more than you might think:

• Combining two or more cars on one auto insurance policy
• Buying a car with airbags or other safety equipment
• Installing anti-theft devices in your vehicle
• Completing a driver's education course
• Insuring your home and auto with the same insurer
• Applying for a mature driver discount (for those between 50 and 65)
• Getting good grades (for students under 25)

Take the highest deductible you can afford. Your deductible is the amount you pay out-of-pocket, in case of a claim, before your insurance company starts paying its share. The higher your deductible, the lower your premiumit's as simple as that. Just be sure you're able to absorb a larger portion of your loss in case of an accident.

Improve your driving record. The more tickets and accidents you have, the more your auto insurance costs. So drive cautiously, improve your motor vehicle record, and inform your auto insurance company of the change. They'll reclassify you as a safer driver, and lower your auto insurance rates in the process!

Consider dropping comprehensive and/or collision coverage if you drive an older car. Physical damage coverages like these reimburse you for damages to your own car. But if the vehicle you drive is several years oldor worth less than $1,000it may not be worth much anyway. Dropping such unnecessary coverage can really save you money.

Review your policy regularly, and keep your coverage updated. Your auto insurance rates may fluctuate due to:

• Adding or removing a driver from your auto insurance policy
• Replacing an older vehicle with a newer one
• Adding or removing a vehicle from your policy
• Increasing or decreasing the number of miles you drive annually

Talk to your insurer if you encounter any of these situations. Under the right circumstances, you'll reduce the impact on your walletand walk away a few dollars richer!

If you're looking for ways to counter prices at the pumpsand everywhere else, for that mattertake these tips to heart.

About InsureMe
Penny Hagerman is a copywriter and insurance information expert with InsureMe in Englewood, Colorado. InsureMe links agents nationwide with consumers shopping for insurance. Specializing in home, life, long-term care, health and auto insurance quotes, the InsureMe network provides thousands of agents with insurance leads every year. For more information, visit InsureMe.com.

Inexpensive Auto Insurance, Reality or Just a Myth?
The first step to obtaining inexpensive auto insurance is learning the real value of your automobile. The insurance will insure for as much as they possibly can, so do not sit idly back and simply accept the valuation they provide. The information ...

Getting Discounts From Your Auto Insurance Company
Lets face it an auto insurance company is a business that is created to make a profit and if we are not careful we might end up paying super high premium rates when we could have paid much lower premiums if we only did some research.Here is a list th...

Cheaper Auto Insurance Rates - Simple Steps - Unbelievable Savings
You can get cheaper auto insurance rates if you take certain simple steps. In fact the sum of the amount you'll save by these steps will be nothing short of amazing. Here are some of such steps...1. A simple but smart way of lowering your premium is...

Auto Insurance — Do You Want To Pay Less? Then You Need These
You need to the right tips if you want to make massive savings. I've been sharing many tips on these and I have a few more that I know will help a lot of folks out there save a lot. Here they are...1. Say, for example, that your auto insurance premiu...

AARP Auto Insurance Benefits and Discounts
AARP is an acronym that stands for the Advancement of Retired Persons. This is basically an association that promotes the welfare of senior citizens or those over 50. Membership is available to anyone over 50 years of age and as a result, this entitl...

San Diego Auto Insurance - Six Tips To Trim Your Costs
In order to substantially trim your San Diego auto insurance costs here are some tips right at hand: Shop Around for your Auto Insurance The same policy can fluctuate to as much as 300% by different San Diego auto insurance companies. If you take...

Auto Insurance - 5 Positive & Negative Factors That Has Influence On Your Annual Premium
Negative auto insurance factors:1. Accidents. If you have a lot of damage reports, and have many small or larger accidents this normally will make auto insurance agents increase the premium for you.2. Speeding Tickets. This is another thing that auto...

Auto Insurance Quotes - How Can I Save On My Car Coverage?
Granted, obtaining auto insurance quotes may not actually be considered fun, but they are essential and you want the best deal possible as well. When you are shopping around for auto insurance quotes there are a few things to be aware of before makin...

Saving on Auto Insurance: The Road to Reduction
The road to saving on auto insurance is something that every consumer travels at one time or another. And the quest is really not as difficult as it may appear. Saving on auto insurance can be a snap if you know the right places to look, and the best...

Auto Insurance - Simple Tips To Save You Money
Is there anything more depressing than opening up that premium notice from your auto insurance company? It can certainly ruin the day for many people, but what can you do?Have you taken the time to explore all your options when it comes to getting di...