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5 Steps to Lowering Your Auto Insurance Quote in No Time

The rising frequency and severity of car accidents, among other factors, made vehicle insurance a must for all reasonably prudent consumers.  Soon after, the government made it obligatory for all drivers to have some sort of auto insurance. 

Over the past decade, there has been a dramatic rise in the number of drivers who need auto insurance, which has increased the industry's complexity while also increasing the pressure to purchase insurance at the lowest possible cost.

These days, getting auto insurance takes as much skill as purchasing a car. Understanding what elements an auto insurance provider uses to determine premium quotes is crucial. This will provide you, the consumer, an idea of what you need to do to get a better quote. Reduce your insurance premium in just five simple steps by:

1. Present yourself as a'safe' candidate

The primary focus of insurance firms is risk mitigation.  Therefore, they provide a lower insurance quote to drivers who are statistically less likely to get into accidents, or at least into accidents of a lesser severity.

Keep your driving record unblemished by accidents or tickets. Put an anti-theft system in your car. Enroll in a Driver Safety Education course. Shop in a car that meets the criteria for "safety." 

The Insurance Institute for Highway Safety and the National Highway Traffic Safety Administration work together to compile data on vehicle safety features. Invest in a vehicle that has earned the'safe' label from the government then also keep your car inside a garage.

2. Insurance firms as a risk management entity, are concerned about prompt payment just like any other business 

If you can demonstrate that you are financially responsible, you may qualify for a more favorable interest rate. Keep your credit score high and fix any inaccuracies you find and reduce the number of active credit cards to no more than two or three.

3. Be prudent with your money

The insurance company's exposure to you as a client can be mitigated by the way you structure and pay for your policy.  If you take measures to reduce their risk, your insurance premiums will go down. You can save money by purchasing an annual policy rather than paying higher premiums every six months. If you want to avoid late payment fees, mailing your payment could cost you more money. Reduce your premiums by increasing the deductibles on your collision and comprehensive insurance. Having your vehicle and house insurance policies with the same provider can earn you a loyalty discount.

4. Accurately determine your insurance requirements 

It goes without saying that the more protection you require, the higher the premium.  Insurance policies that include unnecessary extras are quickly eaten up by rising premiums. Minimum liability insurance is sufficient if your car is rarely driven or is an older model with low resale value. It will save you money. When it comes to auto insurance, after meeting the minimum requirements set by law, insure only for your own needs.

5. Make sure your insurance provider knows if you solely use your car for work-related

Your insurance quote is based on a variety of other factors as well. Some of these are not practical, but others require little work on your part yet can yield significant cost savings. Make sure your insurance provider knows if you solely use your car for work-related trips or errands to keep costs down.

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