A recent study on car insurance rates shows that prices continue to increase for consumers that do not shop around, while those that are shopping around are saving hundreds and even thousands of dollars. How can you save on your car insurance rates?

Shop Around
Insurance rates for the same coverage and for drivers with similar driving records can vary by hundreds and even thousands of dollars. By shopping around to as many insurance companies as possible, you give yourself the best chance of finding one of the cheapest rates.

Dr. Peter Cline of the Insurance Institute states, “Insurance consumers have been conditioned to listen to their Broker or Agent for advice on insurance products, but now with the advent of the internet and sites like Get-InsuranceQuotes.com , consumers can now make informed decisions as to where they purchase their insurance.”

Increase your collision deductible
Increasing the collision deductible can save a you roughly 15% to 20% on your insurance premium. Not only that but increasing your collision deductible acts as powerful deterrent to drive carefully as you’ll have to pay the higher collision deductible in the event of an accident.

Remove physical coverage from older vehicles
Most insurance companies won’t even insure vehicles over ten years with collision or comprehensive coverage. So if your driving a vehicle that’s close to its decade anniversary, it may be time to remove physical coverage and even lower liability limits to the minimum.

Before Buying a New Car, Do an Insurance Quote
When shopping for a new car, you should always factor in the costs to insure the vehicle. The best way to do this is by doing an online quote as your can get a very good idea of how much it’s going to cost for insurance and whether or not you should even get the vehicle in the first place. Many people are surprised when they find out the cost of insurance for that new sports car they just bought, buying a new car in itself is a big expense, don’t add to costs with a big insurance bill.

Look for discounts
There are as many discounts as there are insurance companies. Companies are offering discounts for everything from car features that decrease the chances of injury or theft, such as air bags, anti-lock brakes, and anti-theft devices to having good grades in school.

In addition, having multiple vehicles and drivers on your policy typically provides discount opportunities as well, as can approved driving courses and AAA membership.

Keep your driving and credit histories clean
The best way to save on insurance, aside from shopping around, is not maintain a clean driving record. This means “no accidents” and “no tickets”, the longer you can go from avoiding these two huge factors in how much you pay, the lower and lower your insurance costs will get.

Another important factor is your credit scores. Many insurance companies in the US have found a correlation between poor credit scores and what is called “pride of ownership”. Vehicle owners with poor credit are less likely to maintain their vehicle and thus in the event of an accident, more damage to the vehicle is caused. This then results, in the insurance company having to pay more for the accident then it would if the vehicle was properly taken care of. Paying your bills on time, not only increases your credit score, but also lowers your insurance costs.

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