Everything you need to know about your auto insurance rate

Your auto insurance rate is based on a variety of factors. Although every insurance company will adjust their rates according to these factors, it is a great idea to shop around. Insurance companies look at the following:

• Make and model of the vehicle you wish to insure. Your rates will be higher if the vehicle you want is:
  
  
  • Expensive to repair
  • Susceptible to theft
  • Provides less occupant protection than the industry average.

• Your driving record. If you have any traffic violations (such as speeding tickets) or if you have been in an at fault accident within the last 5 years your rates will be higher.

• Where you live. If you live in a heavily populated urban area expect to pay more. A busy area means there is a greater chance of theft or an accident.

• The total miles you drive in a year. If you drive more than 20,000 miles a year you could pay a higher premium. Be honest with your insurance company about this because in the event of an accident they could assign an insurance investigator to your case.

• The coverage you want. If you want a low deductible and full collision coverage expect to pay more.

• Raise your deductible

• Choose a car with a lower-cost insurance rating. For specific vehicle ratings click here.
  
  
• Remove collision coverage on an older vehicle

• Install a theft deterrent system in your vehicle

• Try using an insurance broker. An insurance broker can get quotes from multiple companies at a time and secure you the best auto insurance rate.