Insurance companies ended up labeling one age group a high risk and another low risk due to statistics. However, in spite of statistics, you can lose the benefit that a generalization would have bestowed on you by doing the wrong things. For example, if you’re fifty-five years old, you belong to a very low risk age group as far as auto insurance is concerned. However, let’s assume you have a terrible driving record or worse still, you have a DUI (Drinking Under Influence) conviction, you’ll pay several times more than you would have. That is if you even succeed in getting a company that agrees to insure you.
This means that you have a responsibility to yourself. Make sure you keep your records as clean as possible. This will ensure you can take advantage of all the discounts available for your age group.
In the same way, if you’re a teen, you can lower the high risk perception insurance companies have of you by doing a few things…
1) Take lessons in defensive driving. Defensive drivers get lower rates from several insurance companies. The simple reason is that a defensive driver is far less likely to cause an accident. They are also trained to avoid being caught up in one. Since their accident records are quite low, their rates are also very low.
2) Get good grades in school. If you’re a good student, you’re likely also a more stable person. A’s and B’s will help you lower your rates with some insurance companies.
After doing one and two, you can also do your best to use less expensive cars. Avoid sports cars and expensive foreign cars.
Finally, take your time to visit at least three sites that provide multiple auto insurance rates. Each site will only take you 5 minutes at most. However, if you consider that this simple exercise will save you hundreds of dollars, you’ll agree it’s well worth your while.