Cheap Auto Insurance...Myth or Fact

Cheap auto insurance sounds more like an oxymoron. Are your insurance premiums on the rise? Here's some advice that could help lower your auto insurance premiums.

1. Set an appointment with your agent for a policy review. Check coverages, deductibles, drivers listed, vehicles insured. If you have an older model vehicle, there is no point in carrying full coverage. The money you will save on premiums over a short period of time will more than cover your lose.

2. Ask your insurance agent about your comprehensive and collision deductibles. Raising your deductibles will result in a significant reduction in insurance premium.

3. Which class of insured do you fall in...preferred, ultra-preferred or sub-standard. Preferred and ultra-preferred applicants receive the lowest rates available. Sub-standard rates apply to those with excessive moving violations, dui's or lapse in coverage for over one month. Sub-standard rates will be substantially higher than those with a good driving record.

NOTE: If you are insured under a sub-standard policy, inquire with your agent as to when you will be eligible to be insured under a standard auto insurance policy. Insurance companies do not automatically change policies, regardless of insurability.

4. Always check insurance rates before purchasing a new car. Most foreign made vehicles cost more to insure than domestic models. The cost can be significant.

High performance domestic vehicles (8 cylinder-muscle-cars) are very costly to insure. After all, you don't want your insurance premium being more than the car payment itself.

5. If you have youthful drivers living in the household, inquire with your agent about listing these drivers on a vehicle with liability coverage only. Although many insurance companies are now determining automobile insurance premiums by what is known as "driver average", meaning all drivers living in the household are rated on all vehicles.

6. Drive safely, abide speed limits, require all passengers to wear seatbelts