There is just one thing that may hold you back when you are just about to smile appreciating your car that is the fact that you have to purchase auto insurance policy if you wanted to drive it. Well it is not new to hear that the state law requires all car owners and drivers to have at least the minimum requirement. This minimum requirement depends upon the state and it’s not uniformly patterned at all.
Nothing is actually wrong in being asked to get some protection before one can go on the roads in fact being insured takes much of one’s worrying about meeting some accidents. But what is bothering people on getting one? A straight forward answer to this question would be the car insurance policy rates are expensive.
It is the price that one has to pay, literally that makes purchasing of a car insurance policy somewhat painful for our financial capabilities. It is a given fact that getting some coverage for your car would cost you a lot nevertheless it is also a fact that there are ways on how to get low cost car insurance.
You can actually do something about your premium rates. First understanding how car insurance company assigns rates to premiums would give you all the idea you need on how to deserve a low cost insurance for your car.
Your driving record is on the top of the list. Car insurance companies assess your driving performance mostly for the past five years. This maybe relative depending on what specific period does your insurance company focus on. Either ways it would pay if you have been driving safely and responsibly. If you have no involvement in any accident whether it is at-fault or no-fault car accident, you are definitely in good standing. Couple this accident free record with filing no claims all throughout your driving history and you will definitely get the best rate.
Your credit record also affects your premium rates. Having a high credit score will set you a good reputation in the eyes of car insurance providers. If they see that you are good in handling your finances chances are you will be given a lower rate than an average person gets.
The car model also is a factor. Driving expensive new models of cars will not help you get lower rates. Oder car model will do on the contrary. Adding auto-theft protection devices then you will get discounted. The car’s mileage also matters for the higher your annual mileage, you are likely to have higher premium as well.
Where you live also makes a difference in your car insurance rate. Since most of the auto-theft related crimes happen in urban setting then policyholders will get to pay more if they are urban dwellers. So if your location is not a big deal for you then you might want to consider moving to a rural place.