NINE TIPS TO SAVE ON AUTO INSURANCE

NINE TIPS TO SAVE ON AUTO INSURANCE

The Insurance Information Institute has nine suggestions to help you save on your auto insurance policies. Auto insurance premiums can vary from company to company and from coverage to coverage, so be sure to shop around.

1. Comparison shop.
Use consumer information provided by your state's insurance department. Where they're available, has published state insurance department auto rate guides. These guides tell you what coverages you need and show you sample rates, usually from the biggest companies. Visit your state's page by choosing your state from the menu at the top of this page.

2. Ask for higher deductibles.
When you file a claim, a deductible is the amount of money you pay before your insurance company kicks in. Higher deductibles mean lower premiums. For example, increasing your deductible from $200 to $500 on collision coverage could reduce your cost by as much as 30 percent.

3. Drop collision and/or comprehensive coverage on older cars.
If you own a car that's worth less than $1,000, you'll probably pay more for the coverage than you would ever collect on a claim. Your bank can tell you how much your car is worth, or check out the Kelley Blue Book.

4. Buy a "low-profile" car.
Cars that are expensive to repair or that have a high theft rate generally have higher insurance costs.

5. Take advantage of low-mileage discounts.
Some insurance companies offer discounts to drivers who put fewer than a predetermined number of miles on their vehicles each year.

6. Consider insurance cost when making a move.
Costs tend to be lowest in rural communities and highest in cities, where more traffic congestion occurs.

7. Find out about discounts for automatic seatbelts or air bags.
Your insurance agent should let you know about these discounts when you purchase your coverage. Most policies give discounts for air bags and automatic seatbelts.

8. Ask about antilock brakes.
Some states, including Florida, New Jersey, and New York, require insurers to give discounts for cars equipped with antilock brakes. Some insurance companies give the discount no matter where you live.

9. Ask about other discounts.
Some companies offer discounts for insuring more than one car, also insuring your home with them (known as a multiline discount), having no accidents in three years, being a driver over 50, taking driver training courses, and having antitheft devices.

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