There are a number of reasons. Safer cars, six consecutive years of decline in the number of auto thefts, crackdowns on drunken driving, stronger seat belt law enforcement and competition among insurers are some of the factors holding down the price of auto insurance. Rates dropped in 1998 more than any time in the last 20 years, according to the Insurance Institute for Highway Safety. That's good news, and there are several ways you may be able to cut your auto insurance costs further. Higher deductibles can lower your premium, as will selecting only the coverage you feel you need.
Many insurance companies offer different discounts.
When shopping for auto insurance, be sure to ask about the availability of these discounts in your state, and whether the insurer offers them. Policyholders who have been accident-free while being insured by the same insurance company for several years may be eligible for reduced premiums. These are just a few of the common discounts offered by insurance companies. For more details, contact your insurance company or agent. Above all, drive safely.