Auto Insurance Rates

Given the fact that it is mandatory to have an auto insurance to drive in the U.S., one ought to have an auto insurance to drive legally. Auto insurance premiums are offered by many companies, including notables as GEICO and State Farm.

Many a times, it may not be possible to avoid an accident by even the most careful drivers, adhering to safe driving habits does pay off in many ways, including in getting low auto insurance rates. Some of the ways to achieve and keep lower auto insurance rates are:

Drivers must be extra cautious while driving in bad weather conditions (such as snowfall or heavy rain), as chances of road accidents are increased manifold in such situations. Accidents may also happen while driving fast on a highway, or even on inner city roads as well due to the presence of pedestrians and children. Furthermore, wearing seat belts, even in the case of an accident, may significantly reduce the intensity of severe or fatal injuries, resulting in less cost of insurance (due to fewer medical bills), hence resulting in less insurance claims.

Having a clean driving record (having no traffic tickets) is vital for keeping auto insurance rates low, as the driver is seen as a responsible individual. If you happen to get a ticket, try to take a traffic school or a defense driving course (instead of just paying off the ticket) to take it off your driving record.

A driver’s age also matters for auto insurance companies, with the middle-age drivers usually being better off, given that young drivers are generally seen as somewhat careless in their driving attitudes, while a lot of elder-age drivers are not able to control their vehicles as attentively as middle-age drivers can.

Auto insurance rates

Insurance companies also consider credit worthiness of drivers. Drivers with good credit standing are seen as trustworthy and will likely be offered better rates.

Auto insurance rates are also affected by the type of vehicle. For instance, a newer and expensive sport model automobile will have higher insurance rates than an older wagon, since the newer and expensive vehicle will require considerably more money in repair or replace costs, than the less expensive wagon. Lastly, doing things such as often making claims against the auto policy, living in or around troubled neighborhoods, and not following the speed limits while driving, all work in a contradictory way in getting and keeping the lowest possible auto insurance premium rates.