Cheap Car Insurance

When you own a new car it's reasonable to have collision and comprehensive coverage. But if your car is no longer new and no longer of much value, then collision and comprehensive isn't so smart. Usually, if the value of your car is less than ten times what the annual coverage costs, it makes sense to drop the coverage if you want cheap car insurance.

Just as the cost of insurance varies from state to state, rates also vary within a state. With more accidents and car thefts, rates are highest in the cities. But living in a city doesn't mean you can't get cheap car insurance. You can lower your premium by reducing your risk for accidents or theft. For instance, installing a car alarm lowers the chance for theft and carpooling lowers the chance for accidents.

Another way to get cheap car insurance is to take advantage of discounts. Car insurance companies will reduce your premium if you're over 50 or drive less than 10,000 miles per year, insure more than one car or your home along with your car, drive without an accident or traffic ticket for three years, have anti-lock brakes or automatic seat belts, take a driver-training course or are a student with good grades.