Auto insurance rates have been going down over the past few years mainly due to the current economic scenario. But there are signs of revival and it will not be long before the rates again show an upward trend. States like Ohio have been seriously hit and the insurance companies are trying to make the most of the situation by reducing their costs as much as possible.
But with the revival and hence corresponding increase in auto sales, it will not be long before the rates go up again. And hence it is important that we are aware of techniques to keep the auto insurance rates down.
One important fact that you have to keep in mind is that all the insurance companies want to know is whether you are a responsible and safe driver. If you can prove to them that you are capable of handling your car in a safe and responsible manner, you can easily get your auto insurance rates down.
When you sit down to negotiate your deal, make sure you convey to the agent that you are a safe driver. A show of a good driving record will easily get your rates down. But how can you maintain a good driving record?
The most obvious way is to be a safe driver. Follow your traffic rules and regulations. Be aware that haste will make waste. These are common sayings that might seem clichéd but they are worth adhering to when it’s going to save you a lot of money.
A driving record is something that is maintained by the DMV or department of motor vehicles. They keep an updated and current profile of each and every driver on the road. Any traffic infractions will be regularly tracked and made note of. They also track whether your car is insured continuously. Any gap in your insurance status must be explained. If there is a gap for more than a year, your vehicle will be blacklisted. Every vehicle has a unique vehicle identification number or VIN. This makes it very easy for the DMV to know who and which vehicle is not insured. A fine will have to be paid in order to restart your insured status. And it could be as hefty as a few hundred dollars.
You can show that you have registered for a defensive driving class in order to prove that you are committed to driving safe. A defensive driving class will not only improve your driving skills, it will also prove to the insurance company that you are serious about safe driving.
For teenagers, a show of good grades will help get a good deal. It is presumed by the insurance company that a student who can maintain grades of A or B will show the same responsibility towards driving. A show of good grades is nothing but a show of intent that one is committed to a safe and successful future. And this will in all probability be reflected on the road too.
It also helps if the value of your car is low compared to other road going vehicles. But do be aware that a car which is fully loaded with safety features like ABS, airbags and stability control etc will in all probability land you a better deal than an entry level model.