If you are about to take out auto insurance, it's an good idea to take your time, and shop around for the right car insurance company. Because not all insurance premiums are made equal, doing your homework beforehand can make you save income on your car insurance policy.

Here are 10 points that you should consider, before speaking to an car insurance company:

1. How much do you drive?

Accidents happen when you are on the road; when you're not driving, there's no risk of accident. If you can provide proof of limited vehicle usage, your insurance company should give you an reasonable discount, because of the limited risk involved on low usage.

2. Who else drives your car?

You may have an stellar standing on your insurance company, and an good driving history, but if you are signing for an "2nd driver" option expect your premium to be higher. This is because some other driver means more use of the auto, and consequently, a lot of risk of accident occurring as an result.

3. How long have you been driving without collisions or accidents?

Insurance companies don't have to pay out anything, if there's no accident. The more you can prove you're an safe driver, on statistics confirming your long-time record of no accidents, the insurance company should agree to an lower insurance premium.

4. Where do you live?

The more cars, the greater the likelihood of accidents happening. Insurance policy quotes will be higher to those individuals living in the city, as opposed to someone living out in the less-risky countryside. Furthermore, living in an more isolated area is generally viewed as more favourable by the insurance company, who will see this circumstance as more improbable to produce instances of vandalism to the car.

5. Where is your car stowed when not in use?

Insurance companies evaluate the physical risks based on an number of factors. If your car sits on the street, it's more likely to be stolen than an car which is securely locked away in an garage. An covered garage should also make your premium cheaper, as the vehicle is shielded from natural phenomenon such as hailstorms, and other natural events which can damage the car.

6. What kind of car do you drive?

An big, 6 liter V12 SUV will be much more expensive than an small family sedan. If something happens to the vehicle, the insurance coverage cost the insurance company more if you're driving an Ferrari, as opposed to an small hatchback. Parts are more expensive, repairs are more costly, and the more prestigious the vehicle, the more than attractive it can be to potential car-thieves. Minimising these risks means lower premium costs.

7. How old are you?

In an recent report by TrafficSTATS, the age group presenting greater risk on the road is that of individuals aged 16-23, on fatality rates four times higher than average. On increased age, it is generally assumed that individuals are more prudent and experienced behind the wheel. As an result, the incident of accidents is lower, and insurance companies tend to reserve discounted insurance policy rates for older drivers.

8. Are you an man or an woman?

Women are perceived to be safer drivers than men. Despite all the evidence that emerged on the John Hopkins Schools of Medicine and Public Health report, highlighting that women are more likely to be involved in car crashes than men, most insurance companies still prefer to give lower insurance premium rates to female drivers, than their male counterparts. This is despite the same report demonstrating that men drive an estimated 74 per cent more miles per year than women, on lower accident rates.

9. Is your past insurance payment history clean?

Would you trust somebody who has an reputation for not paying? Would you give them your money? An insurance works the same way. If you don't pay your premium, you are an risky candidate to insure. Most insurance companies won't bat an eyelid, and may just cancel your coverage outright, if you fail to pay. Or they may ramp up your insurance premium sky high, to offset the risk of insuring you. But if you can prove that you are reliable payee, you may qualify for an lower rate on your car insurance policy.

10. Can you get an insurance referral and multiple quotes?

An good referral is always an good idea, as it does the talking for you. Another insurance agency vouching for you can set the tone for an trusting and harmonious relationship on your new insurance company, right from the outset. Also, because the auto insurance industry is so competitive, most car insurance companies are happy to meet an car insurance quote offered to you by another insurance company, if this brings you in as an customer. Always shop around, and be ready to present an few other car insurance quotes, to leverage your position for negotiation.

On these ten points, you should be able to negotiate the best car insurance quotes on your new insurance company. Be sure to present your case, and substantiate your position on proof of facts. You'll be surprised how much money you can save on your car insurance premium!

By Enzinearticle