Cheap Car Insurance Rates

Although insurers use many factors to calculate their rates, three basic ones are where you live, what you drive and what your driving record is. If you live in a city, you're not going to get cheap car insurance rates. Due to higher accident and theft rates and higher overall costs, rates are higher in cities than in non-urban areas.

But if you live in a city, it's possible to reduce your premium. To do this, you need to offset the negative elements of high accident and theft rates. For instance, installing anti-theft equipment can reduce your risk for theft and get you a lower premium. Or if you carpool or take public transportation, this lowers your chance for an accident and at the same time gets you a lower insurance rate. So to get cheap car insurance rates, you need to look at what causes higher prices and take action to eliminate or reduce the effect of those factors.

Another basic ingredient of what controls cheap car insurance rates is the car you drive. If the car model is safe, cheap to repair and rarely stolen, then you'll get low rates. But if it's less safe than average or more frequently stolen, you can reduce the negative effects. If for example your car is less safe than average, you can install safety devices that either reduce the chance for an accident or decrease its severity.

The third basic element for getting cheap car insurance rates is your driving record. While you can't change your driving record like you could change your car or where you live, you can still reduce any negative effects. Many insurers will give you a discount if you take a safe driving course. And if you're in school, some companies will reduce your premium if you're a good student.