We all like the idea of cheap auto insurance.  Auto insurance is something everyone with a vehicle has to have, by law.  Because most of us have to stretch our money as far as possible, the concept of cheap auto insurance can be quite attractive.  Be sure to shop around for at least 3 to 4 cheap auto insurance quotes.  Compare the policies and types of coverage for each cheap auto insurance quote as well as the premiums.  As you read the “fine print,” you may find that not only are you getting cheap auto insurance, but also you are not getting decent coverage for your vehicle.  You may also find many “hidden fees” written into your policy that are tacked onto your premium.  Luckily, the internet affords you the opportunity to shop around quickly and conveniently for cheap auto insurance.

One other option in acquiring cheap auto insurance is to raise the deductibles on your cheap auto insurance policy.  You can raise the deductible you would pay in case of an accident from $500 to $1000 for example.  In this circumstance, your premium would also go down.  Keep in mind your ability to pay the higher deductible.  If you cannot pay the higher deductible, than this may not be the best method for achieving cheap auto insurance for you. 

Another option you have in acquiring cheap auto insurance is to understand the many factors that affect your cheap auto insurance.  The first thing to affect auto insurance rates is the type of vehicle you are wishing to insure.  When a new vehicle model comes out it’s given a rating based on the predicted cost to insure it.  Insurance organizations then watch the performance and crash results of the vehicle to adjust the auto insurance rates for the vehicle in coming years.  Sports cars and sports utility vehicles will usually have higher liability premiums. 

The insurance organizations combine information gathered on a vehicle’s crash history as well as its loss history to come up with the auto insurance rate.  The size and weight of your vehicle are key factors in surviving a crash.  Large cars generally have lower auto insurance rates due to their good crash history and lower loss history.  Sports utility vehicles have the size and weight but are highly likely to be involved in rollover accidents.  Your vehicle’s safety features are also a factor in determining its auto insurance rate, such as air bags, and anti-lock brakes.

Another important factor in obtaining cheap auto insurance is your credit history.  This cannot only affect your auto insurance rate, but some insurance companies decide whether to sell you insurance or not based upon it.  The insurance companies have developed rating systems aimed at determining the amount of risk involved in insuring each individual.  These organizations have found a correlation between your financial records and your insurability.  Statistically, people with high credit scores are a much better insurance risk that people with lower scores, and so they will have cheap auto insurance.

There are some factors used in determining cheap auto insurance rates that you cannot change, but it’s good to understand how it plays out.  Age is a definite factor in determining your auto insurance rate.  If you are at either end of the age spectrum, your auto insurance rates are likely to be higher.  The young, carefree, inexperienced teenage drivers and the older more impaired, drivers are statistically more likely to have accidents, and thus not qualify for cheap auto insurance.  Fair or not, your sex is a determining factor in your auto insurance rate. It has been proven statistically that women are safer drivers and so have cheap auto insurance rates in comparison to men.  Another little known factor in determining your auto insurance rate is marital status.  Yes, marriage does bring many perks, and one of them is cheap auto insurance.

Where you live can allow you the opportunity for cheap auto insurance.  It is a matter of simple logic – if you live in a rural area, you are less likely to get into an accident or have your car stolen, because, hey, there are fewer other cars to hit you and fewer thieves to steal from you.  Insurance companies look at the population of your area and the number of accidents and auto thefts that occur there in determining your auto insurance rate.
Your driving record also plays a role.

 If your driving record reflects speeding tickets or other driving violations this will keep you from having cheap auto insurance.  Another rather obvious factor in determining your auto insurance rate is your accident history.  As you probably know, the fewer accidents you have on your record the higher the better your cheap auto insurance rate will be.  There’s one factor used in determining your auto insurance rate that you may not be aware of, your job.  Those insurance organizations have gone to great lengths with data researchers and statisticians to find a correlation between the job you do and your insurance risk. 

As you, look at the factors that affect cheap auto insurance, there a few more to add to the list.  The amount of miles you drive in a year is a factor.  The more you drive, the more likely you are to be involved in an accident.  The more you drive in a year the farther away your goal of cheap auto insurance will be.  Installing theft protection devices can help in getting cheap auto insurance since they help in preventing it from being stolen thus making your vehicle a better insurance risk for the insurance company.  Having more than one vehicle usually qualifies you for a “multiple car discount.”  Moreover, one final factor in determining your auto insurance rate is whether you have allowed your auto insurance to lapse and for how long.  Insurance companies have determined that this puts people in a high-risk status and it can cause your cheap auto insurance rate to skyrocket, or even make you uninsurable by some companies.