There are simple things that will go a long way in helping you get superior coverage at lower rates. Do you know those things? Here are some…

1.An excellent credit rating will reflect favorably on your auto insurance rate. A bad credit record will cost you in higher auto insurance rates. The simple reason for this is that there is a general consensus among most insurance carriers that there is a link between poor credit rating and high risks. The truth is that they believe that the likelihood of you defaulting in your premiums is very high. This assumption of increased risk makes such individuals pay higher rates in car insurance and other insurance policies.

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2. Have you checked if your credit card company offers rental car coverage? More often than not, you’ll discover that your credit card provider has already given you this coverage as added value. You’ll simply avoid duplicating coverage if you check before you decide if it’s necessary to still add rental car coverage to your policy.

3. If you complete a defensive driving course, you’ll qualify for a special kind of discount with most insurers. They enjoy a good discount because they’ve acquired skills that make them respond better to incidents on the road thus making them safer drivers. This is particularly important for high risk profiles. Being certified as a defensive driver will save a young driver thousands in premiums in a few years. So as much as possible, become a defensive driver especially if you under 25. When you get certified, let your agent know and insist on your discount — You’ve earned it.

4. Getting married will bring down your rate by a huge margin. Insurers have statistical data that show that people are less reckless and much more careful on the road when they get married. Insurers will tell you that their records show that married people make fewer claims. Furthermore, when they do make those claims, they usually cost less on the average than those married by their unmarried counterparts.

5. “Pimping your ride” does NOT help if you want lower rates. Doing such reduces your car’s safety and, therefore, warrants higher rates as far as the insurer is concerned.

6. Before you get carried away with the few hundreds you will save on a house, check if it will not cost you much more in auto insurance. Also note that a neighbor not too far away might fall under a lower crime zone than you — This affects rates.

Therefore, take your time to ask your agent what effect your new zip code would have on your rates before you make that down payment. The truth is that most people don’t think about this when they are about buying a home.

But think about it: If your new zip code adds up to $300 to your annual auto insurance rate, how much would that amount to at the end of your 30-year mortgage?

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