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Auto insurance companies offer premium reductions, special insurance rates or discounts. These you should take advantage of to save even more on your auto insurance. Here are some of the premium reductions, special insurance rates or discounts that you can avail of.

a. Low mileage discounts

The shorter the distance you drive, the lesser your premiums will be. The average distance you drive annually is the basis for the calculation of your premium. How far you commute from and to work or school, whether for personal or business use, determines your vehicle use and your daily exposure to risks.

b. Good student discounts

Many insurance companies offer discounts for currently enrolled students with good grades and to those family members studying away from home. It’s called “Good Student” discounts for your drivers who maintain a “B” (or 3.0) or above “B” average.

c. Multi-car discounts

You can reduce your premium by insuring two or more vehicles in one policy.

d. Other policies

You can also reduce your premium by availing of other policies with the same company. Other policies may include homeowners insurance policy or life insurance policy. Various insurance companies offer discounts if you have your home insured with the same company that insures your vehicle.

e. The safe vehicle discount

Discounts can be earned by installing anti-theft devices and safety devices in your car. Examples of anti-theft devices are anti-lock brakes and alarms, safety devices are airbags and factory-installed mechanical seatbelts. Many insurance companies offer discounts for this devices installed in your vehicle.

f. Age – Being at least 25 years old

25 years old and above are believed to be more responsible, so the risk of at-fault accident decreases, and auto insurance premiums tend to be lower. Risk assessors have determined that those under 25, due to their immaturity and inexperience in driving, are more prone to accidents. Driver’s rate is calculated in a different driver class.

g. The good driver discount

Your insurance policy can be cancelled by your insurance company on your renewal if you got involved in an accident and/or you’re given traffic tickets. Discounts are given to drivers who have not had accidents and received tickets for 3-5 years. Discounts are also given to those who have completed a driver’s training course.

h. Avoiding installment fees

Sometimes, you can save on the premium by paying 6 months of an auto insurance premium in advance instead of monthly. Buying a 12-month policy can save you even more. This is because most insurance companies charge service fees for installment payments.

i. Prior insurance

If you have been continuously insured for the last 6 months or more you can also avail of discounts.

j. Good credit score

A good credit score can lower your rate as insurance companies usually adjust rates by judging your risk.

k. Car pooling and use of public transportation

Some insurance companies offer carpooling, as well as public transportation discounts. Logic says that the more you use car pooling and public transportation, the less you drive your vehicle. And the less you drive, the less likely you are to have an accident.

About the Author: Fred Gagnon specializes in providing tips and information on jewelries. He owns a wide collection of stunning, glamorous and chic jewelries. To learn more about jewelries, accessories, precious metals and gemstones, visit Peridot Rings and Princess Cut Engagement Rings.