How to Get a Lower Rate on Your Auto Insurance

How to Get a Lower Rate on Your Auto Insurance

Does your auto insurance premium seem to keep going up? Even if you get a new car with the buy here pay here dealerships Denver, you’ll still have an opportunity to get a rein on your auto insurance costs with these ideas for lowering your rates.

Encourage Your Teen to Get Better Grades

If you’ve recently added a teenage driver to your policy, no doubt you were in for a nasty surprise when you received your next premium bill. Teen drivers are one of the most common reasons for rate increases on auto insurance policies. However, you can get some relief on that raised premium if your teen gets good grades. Some auto insurance companies offer a discount for teens with a certain minimum GPA. The reasoning is that better students make better drivers.

Encourage your teen to get better grades so your discount can kick in. This is an especially good incentive if your teen contributes to the cost of the auto insurance, since their portion will be smaller.

Submit to a Driving Sample

Better drivers can enjoy lower rates on auto insurance. One well known auto insurance company will give you a better rate if you allow them to sample your driving habits in real time. They will send you a device that connects to your car’s computer. Then they record your speed, mileage and overall driving habits.

If you’re willing to submit to a driving sample, you could save up to 30% off your rates, assuming you are a responsible driver. Typically, this just consists of a simple device that plugs into your car. The data is recorded and transmitted to the insurance company. No further action is necessary on your part.

Secure Your Vehicle

Auto insurance rates are calculated with a complicated algorithm. But among the factors influencing your final rate is your vehicle’s security. If you live in a crime-ridden area with no garage and no anti-theft mechanisms installed, you’ll pay more than a person who lives in a safer neighborhood and who houses their car and uses a car alarm or other theft deterrent.

Whatever extra security you can provide for your car, you should do. Whether it’s a new car garage, a car alarm, or a steering wheel lock, report it to your auto insurance representative. Chances are, they’ll give you a break on your rates because of the extra security.