All United States of America drivers must have car insurance. Many companies sell auto insurance for different kinds of vehicles. For example, they sell insurance to cover cars, trucks, motorcycles and commercial vehicles. Insurance rates change based on where the customer lives. You can find good deals on auto insurance when you shop around, but you can take some steps to lower your car insurance rates.

Rates and premiums are words companies use to tell you how much insurance costs. Rates are the money you pay, usually each month. Premiums mean the total cost of the insurance coverage between renewals. Deductible is what you pay before insurance begins to pay when you are in an accident. There are simple things you can do to lower car insurance premiums.

What and Where You Drive Makes a Difference

You will pay more to live in a city than if you live in the country. You will pay more for newer vehicles, too. Older vehicles are cheaper to insure, but can cost more to fix. Trucks cost more than cars. You can save money if you drive an older car or truck and do not live in a city. Insurance rates and premiums are more expensive in cities because you can get into an accident or your car can get stolen. Country drivers get in accidents less, because they do not have stop and go driving. Country drivers get into more head on crashes, though.

Drivers who live in cities can expect to pay more for car insurance because the risk of accidents is higher.

How You Drive Can Save Money

If you speed and drive crazy, you can get tickets. Insurance companies will raise your rates and premiums if you get speeding tickets. Car accidents will also raise the cost, sometimes even when it isn't your fault. Some companies will not cover you if you have too many tickets or accidents. Others just charge you more each month. You can save money on your auto insurance by driving safe. Do not speed, drive crazy or hit other vehicles. Most insurance companies will make you pay more if you hit trees, fences, mailboxes and trashcans, too.

Insurance Companies Can Charge More For Males

Rates and premiums are more costly for men than women. Young drivers pay more, too. Insurance companies can charge more for young men than for young women because young men take more risks. Young men drive faster and are more likely to get in a crash. Young women are not as likely to drive crazy and show off for friends. This means insurance companies are allowed to charge more for men than women. California, Hawaii, Massachusetts, Montana and Pennsylvania do not charge different amounts for men and women.

You can reduce your insurance rates by avoiding car accidents.

Insurance rates and premiums are lower for older drivers. New drivers pay the highest amount because they are more likely to use insurance. After about age 20, insurance rates will start to drop. Most drivers will notice lower cost insurance rates around 25 or 26 years old if they do not have a lot of tickets and accidents.

I Was In An Accident or Got a Ticket-How Can I Lower My Rates?

Insurance companies will probably raise your insurance rates if you are in an accident. In some states, your rates can increase even when the accident was not your fault.

Insurance companies will usually charge more for three to seven years after you are in an accident. Younger drivers will see rates go up more than older drivers.

Paying attention to the rules of the road can save you a lot of money.

The best thing you can do if you are in an accident is to shop around with other insurance companies. Sometimes you can get a better deal. Replacing your crashed car with an older car can help reduce your insurance rates.

Some states will let you take a class to have a ticket taken off your record. This can lower your insurance rates a lot. Ask your insurance company if they offer discounts for taking safe driving classes.

Can I Negotiate Better Rates?

You can not haggle for better deals on insurance rates. This is because insurance rates are set by state law. Many things make insurance rates as expensive as they are and you can't get a better price by haggling. States set the limit on how much coverage you need. You can get better rates by shopping around. There are things you can do to get cheaper car insurance without changing companies.

For instance, you can change the amount you are covered for in case of an accident. Less coverage is cheaper, but be careful! Car accidents can be very expensive, and if you hurt someone, your insurance will have to pay for it. You have to pay for injuries that are more expensive than your policy covers.

If you raise your deductible, you will have to pay more out of pocket when you use your insurance, but your rates will be lower. If you don't get into car accidents and don't get tickets, you can get better rates for car insurance by raising your deductible.

Why Did My Insurance Cost Go Up?

Things that can make your insurance go up include car crashes and tickets. New cars are nice, but they cost more to insure. Any time you use your car insurance to pay for an accident, your insurance company can charge you more. In some states, your car insurance will not go up if the accident was not your fault.

Older cars require more maintenance, so be sure to get a repair manual or a workshop book to service your car and prevent breakdowns.

Car insurance companies have to change rates sometimes for lots of reasons. If you see that your insurance went up, but you didn't have an accident, you should call your insurance company and ask why. State law changes the rates for insurance.

There are lots of different things you can add to a policy to make sure you are covered, like theft and vandalism coverage. These add-ons cost more and will raise your insurance rates and premiums.

Does AAA Lower My Insurance Cost?

AAA is a membership club used for emergencies, like a flat tire or a dead battery. You can get towing, a gallon of gas if you run out, and road-side help. AAA will not lower your insurance cost, though, unless you have a policy with AAA.

Some insurance companies will give you a discount if you take driving classes, such as defensive driving. This is because classes make you a safer driver.