Ways to lower your insurance cost

1. Shop Around

Prices vary from company to company, so it pays to shop around. Get at least three price quotes. You can call companies directly or access information on the Internet. Your state insurance department may also provide comparisons of prices charged by major insurers. (State insurance department phone numbers and Web sites can be found here.)

You buy insurance to protect you financially and provide peace of mind. It's important to pick a company that is financially stable. Check the financial health of insurance companies with rating companies such as A.M. Best (http://www.ambest.com) and Standard & Poor’s (http://www.standardandpoors.com/) and consult consumer magazines.

Get quotes from different types of insurance companies. Some sell through their own agents. These agencies have the same name as the insurance company. Some sell through independent agents who offer policies from several insurance companies. Others do not use agents. They sell directly to consumers over the phone or via the Internet.

Don't shop price alone. Ask friends and relatives for their recommendations. Contact your state insurance department to find out whether they provide information on consumer complaints by company. Pick an agent or company representative that takes the time to answer your questions. You can use the checklist on the back of this brochure to help you compare quotes from insurers and on the same coverage.

2. Before You Buy a Car, Compare Insurance Costs

Before you buy a new or used car, check into insurance costs. Car insurance premiums are based in part on the car’s sticker price, the cost to repair it, its overall safety record, and the likelihood of theft. Many insurers offer discounts for features that reduce the risk of injuries or theft. These include daytime running lights and anti-theft devices. To help you decide what car to buy, you can get information from the Insurance Institute for Highway Safety (www.iihs.org).

3. Ask for Higher Deductibles

Deductibles are what you pay before your insurance policy kicks in. By requesting higher deductibles, you can lower your costs substantially. For example, increasing your deductible from $200 to $500 could reduce your collision and comprehensive coverage cost by 15 to 30 percent. Going to a $1,000 deductible can save you 40 percent or more. Before choosing a higher deductible, be sure you have enough money set aside to pay it if you have a claim.

4. Reduce Coverage on Older Cars

Consider dropping collision and/or comprehensive coverages on older cars. If your car is worth less than 10 times the premium, purchasing the coverage may not be cost effective. Auto dealers and banks can tell you the worth of cars. Or you can look it up online at Kelley’s Blue Book (http://www.kbb.com). Review your coverage at renewal time to make sure your insurance needs haven’t changed.

5. Buy your Homeowners and Auto Coverage from the Same Insurer

Many insurers will give you a break if you buy two or more types of insurance. You may also get a reduction if you have more than one vehicle insured with the same company. Some insurers reduce the rates for long-time customers. But it still makes sense to shop around! You may save money buying from different insurance companies, compared with a multi-policy discount.

6. Maintain a Good Credit Record

Establishing a solid credit history can cut your insurance costs. Insurers are increasingly using credit information to price auto insurance policies. To protect your credit standing, pay your bills on time, don't obtain more credit than you need and keep your credit balances as low as possible. Check your credit record on a regular basis and have any errors corrected promptly so that your record remains accurate.

7. Take Advantage of Low Mileage Discounts

Some companies offer discounts to motorists who drive a lower than average number of miles a year. Low mileage discounts can also apply to drivers who car pool to work.

8. Ask about Group Insurance

Some companies offer reductions to drivers who get insurance through a group plan from their employers, through professional, business and alumni groups, or other associations. Ask your employer and inquire with groups or clubs you are a member of to see if this is possible.

9. Seek Out Other Discounts

Companies offer discounts to policyholders who have not had any accidents or moving violations for a number of years. You may also get a discount if you take a defensive driving course. If there is a young driver on the policy who is a good student, has taken a drivers education course or is at a college out of the area without a car, you may also qualify for a lower rate.

Overview of Three of the Basic Package Inclusions of Car Insurances

Alongside the decision of buying a car is the need to choose a car insurance that covers it. Primarily designed to protect car owners against losses and liabilities incurred in vehicular accidents, car insurance is not to be understood to be simply that. What should prospective car owners know when they buy auto insurance are the details regarding the packages inclusive in their auto insurances? In line with this, car insurance companies have the responsibility to orient their customers about such packages and why the customers need them. Regrettably though, this obligation is sometimes neglected, leaving customers ignorant of the total value of their insurance.

So, exactly how much value are you going to get with the car insurance you're planning to purchase? Are the packages inclusive in it enough to leave you feeling secure when you head to wherever destination?

The following gives an overview of three of the basic package inclusions of auto insurances. Read on and be informed.

1. Comprehensive package (which includes pay for damage or loss of car under non-accident, i.e. natural-disaster-related)

Opting for an insurance with a comprehensive package gives a buyer the advantage of getting pay for natural-disaster-related car accidents and others which are non-accidental in nature (e.g. when your car gets stolen). It ensures that the car owner is financially protected by his car insurance in cases that are absolutely beyond his control.

2. Medical package (which pays for your health needs if an accident occurred)

Getting this package does not mean lack of trust in the driver. Accidents can occur at any time so it is always best to be on the safe side. If you buy car insurance with this package included, your medical expenses on personal injuries are covered. The coverage of this package can be adjusted according to the buyer's preference. It is advisable for the buyer to check his health insurance's coverage to know how much protection he needs from his car insurance's medical package.

3. Collision coverage package (which pays for damages caused by road collisions)

While drivers always strive to stay on the safe side, some get their cars hit by accidentally hitting another car, getting hit by another car or hitting a certain object. Damages to the car caused by accidents are covered by this insurance package. Car insurance companies recommend this package to car owners whose vehicles are either new or are still in excellent condition. It is an assurance to those who keep their cars in tip-top condition.

AutoQuoteNow.com guides car owners and prospective buyers on everything about car insurance It provides answers for frequently asked questions unanswered by car insurance companies. If you want to buy car insurance and know only a little about it, visit autoquotenow.com to know about the car insurance packages that match your ideal car and personal protection.

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