10 Tips for Lowering Your Car Insurance Premium

Every American that rents, leases, or owns an automobile must have auto insurance by state law. While this insurance is required before operating your vehicle there are a few tips for getting the lowest insurance quote possible. Here are the top 10 tips to aid in lowering your automobile insurance premiums.

1- Insure for less says that raising your deductible is a great way to reduce the amount you pay for auto insurance. The only down side is that if you are in an accident you will have to pay more of the damages out of pocket. The bright side is that if you are a safe driver this tip will save you some money on your automobile insurance.

2- Ehow states that another way to cut the cost of automobile insurance is to pay your premiums in full, instead of paying monthly. The reason being is that most insurance companies will give a discount when you pay your policy in full. Another tip is to enroll in automatic billing, have your policy premiums taken out of your bank account directly can save you the monthly service fees charged by your auto insurance company.

3- Get my quote explains that having a car that is valued between $1,000 and $2,000 can dramatically reduce your premium rates. This save you money because, you are allowed to drop the collision insurance on this automobile, and that will save you a few extra dollars a month.

4- Frugal living tells us that by driving less we will be able to reduce and cut back our automobile insurance premiums. They state that the less you drive the less chance you have of being involved in an accident which in turn lowers your premium. Also, frugal living suggests that carpooling is another great money saving tip because, carpoolers may qualify for a low-milage discount with certain insurance companies.

5- The general tells us that in order to save money on automobile insurance we must maintain liability coverage. This tip will cost more money when you first start your automobile policy but, it will in the long run be a handy tip for saving money.

6- Get my quote states that installing anti theft devices will significantly reduce our automobile insurance premiums. Installing a low-jack or a telatracer could save you on average 7-10% a year on your insurance premiums. Automobiles with airbags, and anti lock breaks also qualify as handy accessories for your automobile to help reduce policy premiums.

7- The Washington Kiplinger recommends that insuring your home, automobile, and having life insurance policies with the same company will save some money. The reason is that most insurance agencies will give up to a 10% discount for having all your insurance policy with their company. This saves you some money and, when it comes time to pay bills you only have one stop to pay all your insurance needs.

8- The Insurance Information Institute suggests that maintaining a good credit history will lower your insurance premiums. A solid credit history will cut your automobile insurance premiums by about 6% according to their studies. Keeping your credit card balances at a minimum, and paying your bills on time will help keep your credit at a good standing. Also, remember to monitor and check your credit rating and history on a regular basis to ensure you will get the lowers automobile insurance quote possible.

9- Edmunds Incorporated gives us a great suggestion for getting a low insurance premium. Edmunds says that you should evaluate insurance costs before buying your next automobile. Automobiles year, make, and model are key factors in determining how much you will pay for insurance coverage. Expensive and sporty cars will be in a higher premium class that, a compact and less expensive automobile.

10- Shop around for automobile insurance quotes. The insurance information institute suggests, that shopping around and getting several insurance quotes before purchasing can save some money. Be sure and ask the insurance company if they offer discounts and compare companies before purchasing. Don't go on just price alone family and friends can offer some suggestions based on their automobile insurance carriers. Listen to some suggestions, shop around for quotes and make an educated and informed decision before buying your next automobile insurance policy.

These are just ten of the top tips for lowering your automobile insurance premiums. Money saving tips that will help you put a little back into your wallet.