by Kristeen Mandak

Created on: June 09, 2009

With the country still in a recession and virtually every family looking for ways to save money, it is worth taking a second look at your auto insurance policy. The same applies to those who are taking out an insurance policy for the first time, or are making lifestyle changes, such as purchasing a new vehicle. The following are tips to help keep premiums down.

Have a safe driving record, free of any accidents. Be weary of companies that claim that, if you get into an accident, your insurance rates will not go up. Usually, this is the case because you are paying a higher premium to begin with. Plus, by not having any accidents on your record, insurance companies are likely to give you a safe-driver discount.

Make sure your record is free of any tickets, or traffic violations. Be extra cautious of speed limits and traffic signs, especially when in an unfamiliar area. Do not let more aggressive drivers on the road intimidate you. By being careful, you will end up saving money. If you do happen to get a ticket for a traffic violation, make sure the ticket is paid promptly, and that you attend driver school so that your insurance rates do not go up. Again, the best way to save all of this wasteful spending is to follow the rules of the road.

If you are a student, or someone on your policy is a student, make sure your insurance company knows. You may be entitled to a student discount. Many insurance companies even offer an added discount for high school students who have high GPAs; just fax them a copy of a report card for proof.

Shop around with different companies if you are a new policy holder, or feel that you are paying too high of premiums with your current provider. Getting quotes online is easiest, but most of the time you will get a better rate by calling an insurance representative directly. Let the representative know that you are comparison shopping; they might be able to offer you a lower rate.

Do not skip around to different insurance carriers, just because they send you special offers through your mail or e-mail. Often times, these are promotional discounts and your rates will go up soon after the promotion ends. Plus, by sticking with one insurance company for an extended period of time, they will knock of a percentage of your premium every time it is up for renewal, just by simply being their loyal customer. The key instead is to keep in contact with your insurance company occasionally,

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