There are many things that conspire to impact one\’s car insurance premiums. Age is only one of these factors. If you are a young driver or are the parent of one, you will need to focus on the other areas to keep your costs down.

Why do young drivers pay so much? It is simple. The insurance companies have no driving history or a limited motor vehicle history on which to base their policy\’s rates.

Typically young drivers will have two opportunities to lower their cost for automobile insurance that are not available to older drivers. They can get a ten percent reduction with most car insurers if they successfully complete a drivers education course. They can get an additional ten percent discount by maintaining a high GPA if they are in high school or college.

Another factor that impacts one\’s auto insurance policy\’s rates is the physical damage options one chooses when purchasing a policy. Physical damage coverage is the part of your policy that pays to repair or replace your auto.

Physical damage coverage has two parts. One is the collision coverage. This pays the cost to repair damage caused by many perils including automobile accidents. The second is the other than collision coverage. This pays to repair damage caused by various perils including theft and vandalism.

You can drop this coverage all together. You can drop the collision coverage and keep the other than collision coverage. You can reduce the applicable deductible or deductibles.

If your car is financed or leased, the lienholder is likely to limit how much you can reduce the physical damage coverage on your automobile. Since your automobile is the collateral for the loan or actually owned by the lessor, the lienholder has a right to expect that your car is always insured with adequate physical damage coverage.

You will not be able to cut out the collision or comprehensive coverage if your car is not owned out right by you. You may be able to raise the deductibles and reduce your costs. You should check to contract you have with them to know what deductible limits are allowable.

If you drive an expensive car you may not want to raise your deductible. Lowering your costs for insurance may start with purchasing older cars that require less insurance coverage.

Another factor that affects one\’s insurance premiums is your location. If you live in a high crime area, the portion of your premium that goes toward the risk of theft is affected. If you live in an area where there is a lot of congestion on the roads, your chances of getting into an accident are affected. The chance or your car being stolen, vandalized or hit by another car are all affected by where you live.

Although few people will make a decision about where to live based only on their potential auto insurance premiums, it should be one factor you consider before moving. If you have a choice of living in more than one place, it may be a good idea to get automobile insurance estimates before making a choice. The cost of homeowners insurance and medical insurance are also impacted by location.

Of all the factors within your control that impact car insurance rates your driving history is the most important. Driving slowly and intelligently is the most important thing that you can do to keep your costs down.

There are many factors that impact your car insurance rates. Your age is only one factor. Discounts are available to teenage drivers based on their taking drivers\’ education and their GPA. Making sure that you have no more physical damage coverage than you need can also cut your costs. Maintaining a good ticket-free motor vehicle history is crucial.

Of course getting competitive automobile insurance rates can make a big difference in your costs. You can find auto insurance in Alaska as well as other areas of the US on the author Alston J. Balkcom\’s website.

Of course getting competitive https://automobile-insurance-now.com/auto-quotes/index.htm automobile insurance rates can make a big difference in your costs. You can find http://automobile-insurance-now.com/quotes/Alaska-auto-insurance-state-AK.htm auto insurance in Alaska and other US states.

Author Bio: Of course getting competitive automobile insurance rates can make a big difference in your costs. You can find auto insurance in Alaska as well as other areas of the US on the author Alston J. Balkcom\’s website.

Category: Finances
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