Auto Insurance - The 4 Factors That Affect How Much You Pay

OK, let me put it on the table: I hate insurance companies. I hate them like some people hate the government. But the sad fact is, auto insurance is something that we all need -- and, in most cases, are required by law to have.

But while having car insurance is usually not an option, how much you pay for it is. Here are the 4 greatest factors that can influence how much -- or how little -- you pay for auto insurance. You

Sadly, you can't do too much about your own personal demographics. Car insurance actuaries (the bean counters who pore over the statistics) "know" that a male that under the age of 25 is involved in more accidents than than a female driver of the same age.

So if you're a young man, you'll pay more. Sorry about that.

Want to pay less? Get married -- you'll often see a reduction in your insurance rates. Why? Because the mass of married males are involved in fewer accidents than the mass of unmarried males of the same age. It is what it is.

Another way to save money is to take an approved driver's training, or driver's safety, course. That can often result in a modest discount. Ask your agent for details.

Of course, your driving record has more to do with your rates than almost anything else. If you have any points on your record, or a past accident (or two) within the last three years, your rates will be higher. And if you are not careful, eventually you can have your policy canceled.

Lastly, how much you drive each week can affect your rates. So see if you can carpool or take mass transit to and from work, at least some of the time. Hey, listen -- you'll also save money on gas as well as wear and tear on your car. Not to mention doing your part for the environment. How good is that?

Your Car

If you drive a car that car thieves like to steal, your insurance carrier is going to charge you more for insurance. Similarly, if you own a car that is expensive to repair, you'll pay more for insurance, too.

Bought a brand-new car? You'll probably pay more. But you can reduce your rates if your car has certain safety features like daytime running lights, anti-lock brakes, airbags and automatic safety belts. And if you live in an urban area, you might want to consider anti-theft devices like a steering wheel lock, and/or a car alarms.

Your Neighborhood

And speaking of the big city, you will find your car insurance rates will be much higher than if you live in the suburbs or out in the country. This is mostly due to the fact that increased traffic will lead to increased accidents. And theft is always a reality as well.

Your Policy

The kind of policy you choose, or more specifically the coverages you elect, will also effect the cost of your auto insurance payments.

So seriously consider increasing your deductible, especially if you drive an older car. It all depends on how much your older car is worth. If the value of your car is low, Why pay a high premium every month to insure against a collision that you may not want to repair? Also consider dumping some of the other coverages you may never use, like medical (if you have other medical insurance) or roadside assistance (if your credit card already gives you coverage).

Conclusion

There you have it -- a few factors that can have a great impact on how much (or how little) you pay for insurance. Check it out and save.

Article Source: http://www.articlesnatch.com

About the Author:
For more info on Auto Insurance, visit Ara Rubyan's Auto Insurance Money Saver.

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Auto Insurance - A Guide to Buying Car Insurance For Your Used Vehicle

When a Deal Isn’t a Deal

Finding the right auto insurance has as much to do with your needs as it does with the price. Cheaper is not always better, so do your research to determine which car insurance company best meets your needs. Read all of the fine print and don’t be afraid to ask any questions about the policy. It’s important to understand exactly what sort of policy you are purchasing and what it does and does not cover. Your best bet is to comparison shop and see what auto insurance options are out there.

By researching and comparing all the options available to you, you’re more likely to find an auto insurance company that is right for your situation. But how do you choose one auto insurance company over another? Through internet research, personal recommendations and consumer reports, you can better understand the strengths and focuses of each car insurance company. It’s also important to understand how each company’s policies differ. Additionally, most carriers offer special discounts for everything from having additional safety features on your car to having a clean driving record. If you’re stuck between several auto insurance companies, applicable discounts can mean the difference between a good deal and a great deal!

Auto Insurance Coverage

Before you begin to decide what type of auto insurance you need, it is important to note that many states dictate the types and levels of coverage required. However, by buying more than the compulsory amount, you can often protect yourself from large deductibles in the future. By understanding the various types of coverage, you are better prepared to protect yourself.

The four varieties of car insurance are:

Liability

Most state call for liability coverage in varying amounts. Liability covers the potential damages caused when you are responsible for an accident. These types of damages include the physical repercussions (medical bills and lost wages) and property-damage (repair or replacement of damages beyond the car) of those involved in the accident you caused. Liability insurance also covers the cost of legal council related to the accident. A certain amount of this car insurance is generally required, but buying more is recommended to protect your personal finances and avoid any potential litigation.

Collision and Comprehensive

Collision auto insurance covers repairs to your vehicle if you’ve caused the accident. The most you are likely to get is the depreciated cash value of the car as opposed to the replacement cost. Collision coverage is often quite pricey and isn’t always necessary. If your car is not worth much — or is a used car with a generous number of miles on it — and collision coverage is not legally required, you may prefer to put that money toward the next time you find yourself buying a car.

Comprehensive coverage pays for the damages that may occur beyond accidents such as theft or natural disaster. Both collision and comprehensive coverage come with deductibles. Remember that a higher deductible translates to a lower premium.

Medical, PIP and No-Fault

Medical coverage pays for all physical damage to you or your passengers following an accident regardless of fault. If you want to ensure total coverage, the addition of Personal Injury Protection and no-fault insurance offers extra protection. Often states require these varieties of car insurance as they extend to include repayment for lost wages or child care. However, as long as you are covered by good health insurance, there’s usually no need to get more than the required amount of medical coverage.

Uninsured/Underinsured Motorists

If a hit-and-run driver or a driver without auto insurance injures you or your car, uninsured motorists’ coverage comes into play. Underinsured motorists’ coverage also pays for any damage or injury to you that exceeds the other driver’s liability coverage. As such, uninsured motorists’ coverage is required in many states. For these reasons, it’s smart to not only meet the legal requirements but also to invest in as much of this car insurance as you can comfortably afford.

Many car buying websites offer useful car insurance features. At Autoguide.com you can check a car’s VIN (vehicle identification number) or check your credit rating and its impact on potential interest rates — both of which could impact your decisions when choosing your auto coverage.

My name is Jeremy Felder. I am a used car aficionado and car collector. Nothing brings me more pleasure than buying a old beat up used car for nothing and fixing it up to drive like a dream. I have made good money selling these cars for profit, but lately I’ve become too attached to my work so I have evolved into more of a car collector. Anyways, my 20 plus years of experience have afforded me boat loads of used car knowledge, which I would like to share with you.

Article Source: http://EzineArticles.com/?expert=Jeremy_Felder

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