Tips on how to find the most affordable auto insurance policy

Although the days of the $4 gallon of gas are behind us, the price has been rising again. It is likely to tip $3 for both premium-grade and unleaded during 2010. This will increase the pressure on family budgets and encourage everyone to find the best possible value for money when buying insurance. Hopefully, these tips will give you an edge in finding the best deals.

Never take the first offer

Unless you walked on to a lot and found your dream car standing there, you would never buy the first vehicle you saw. You would always shop around. It should be the same with insurance. More importantly, you should use the resources of this site to get quotes on different makes and models before you go out looking. That way, if you see a possible bargain, you will know whether you can afford to insure it. When it comes to renewing, never go back to the same company on autopilot. Always use this site to check out what deals other companies are offering.

Buy a vehicle with a good safety record

The folk who calculate the premium rates collect the facts from every reported accident in the US. They know the makes and models of vehicle most likely to be involved in an accident or stolen. So. before you buy, check out vehicle ratings published by the Highway Loss Data Institute (HLDI) (http://www.iihs.org/). You may decide to sacrifice power and style when you see how much you can save when you drive something safe.

Make sure the vehicle you buy has all the approved safety features fitted

You will earn discounts if your vehicle has airbags, antilock brakes, and so on. To help recover a more expensive vehicle when stolen, fit a GPS tracker. Otherwise, spend some money on security systems to make it difficult to drive the vehicle away. As an additional factor, always try to park the vehicle off the road in a lockable garage at night.

Avoid tickets

Just as driving a safe family vehicle saves money on the premium, you keep the premiums low if you drive safely, never pick up a ticket or get into an accident. Almost all insurance companies operate a points system. The more you score for driving safely, the bigger the savings.

Wherever possible, buy from the company with the best reputation

Every state has a Department of Insurance which is responsible for regulating the local insurance industry. This includes running a complaints procedure. The most consumer-friendly Departments publish a list of the insurance companies showing which have the most complaints about how the policies are sold and how claims are handled. Even in the states where the information about complaints is kept confidential, you should ask all your friends and colleagues, and explore the internet to find out which companies have the best reputation. You do not want to have an accident only to find the company is a dog when it comes to paying out.

Are online-only policies better value?

Because the companies employ fewer people, they make savings on the costs and overheads. This allows them to offer cheaper premium rates.