Every where we turn costs are increasing across the board, including food, energy, and just about any other item you can think of. It appears now everyone is looking for ways to save money, which is a good idea. If you are looking to save money on your auto insurance then here are some things you may want to be aware of.
Here are some things that will drive your car insurance premiums up:
1. Getting moving violations such as speeding tickets or failing to stop at a stop sign or running through a red light.
2. Having accidents and then processing the claim through your insurance company. Of course if your insurance company does not know about the accident then it won't affect your car insurance.
3. The neighborhood you live in will drive your insurance costs up. If you live in a neighborhood that is deemed less than desirable by insurance companies it will cost you more. If they determine that your neighborhood has more than it's share of burglaries and auto thefts it will factor into you receiving higher insurance costs.
4. Your age will also determine your insurance costs. The younger you are the more you will pay. Auto insurance premiums tend to be higher for those that are 25 years old and younger. You will see a dramatic difference the older you are.
5. Not taking driving courses that are offered. Taking driving courses can get you lower premiums. There are also some courses that you can take to have points removed from your driving record which you incurred for committing a driving infraction.
6. The type of auto you drive. Sports cars have a tendency to make you pay more in auto insurance.
7. Men will pay more for auto insurance than women because men are more aggressive drivers.
8. Your luxury auto will cost you more in insurance.
9. Only having one person on your policy cost you more. When you add another individual to your policy with another auto it will decrease your auto insurance. If you have your home on the same policy as your auto this will drive your premiums down.
10. Not having safety features installed in your car like a burglar alarm and air bags.
11. Adding someone to your car insurance as a driver that has a less than perfect driving record.
These will definitely drive your insurance up. I added number 11 as a bonus.
So be careful and make sure you shop around the rates for the best insurance companies. That's another thing not shopping around to get the best rates will drive your insurance costs up. Always ask about your deductible. For example you have the option of selecting a deductible of $250 versus $1,000. I always select $1,000 as my deductible. Now a deductible is the portion of the expense you are liable for in case of an accident. You must pay your deductible before the insurance company will pay their portion. With a $1,000 deductible you are assuming more of the risk therefore your insurance premium will be lower. With a $250 deductible you are assuming less of the risk and consequently your insurance premium will be higher.
However if you have an accident and your deductible is $1,000 you had better be prepared to pay that deductible.
To Your Great Success
Mel Richardson
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