Auto insurance is another and substantial expense that adds to the cost of operating a vehicle. That makes the question, “How can you lower the cost of your auto insurance?” a poignant question indeed.

According to AAA, the cost to operate a vehicle in America today is 60.8 cents per mile. That may not sound that bad but, when you consider how many miles we all drive, on average, it adds up. In fact, based on driving 15,000 in a year, which is also approximately average for drivers in the country, it comes to $9,122 per year.

The cost of operating a vehicle includes the cost of gasoline, maintenance and replacing worn and damaged auto parts, along with the cost of insurance. It also includes taxes, parking and toll fees and other incidentals. Hopefully, those ‘incidentals’ do not, for you, include the costs of tickets, lawyer’s fees and repairing damage from accidents. If they do, they’ll also drive up the cost of auto insurance.

Clearly, avoiding such incidents as traffic tickets and accidents can go a long way to helping to lower the cost of your auto insurance. Here is a breakdown of things you can do to help keep lower the cost of your auto insurance:

1. Shop for value when you buy auto insurance: Yes, you can help to lower your auto insurance by shopping around. But you don’t want to focus on the cost of auto insurance alone. You also want to make sure that you have the coverage you need and that you’re insured with a provider who will stand behind you when the need arises. Ask yourself if that bargain price is really a bargain.
2. Raise your deductibles: Yes, this can help to lower the cost of your auto insurance. But, be careful (refer back to Point No. 1 above). You could come to regret raising your deductible on your car.
3. Reduce coverage if you have an older car: This can help to lower the cost of your auto insurance but, once again, make sure that reducing your coverage on an older car doesn’t leave you incapable of replacing transportation if you have an accident.
4. Combine your auto insurance with your home-owners insurance: This almost always makes sense in terms of lowering the cost of your auto insurance. There really isn’t any cautionary tale to tell with this point.
5. Maintain a good credit rating: Insurance companies take your credit rating into account as a matter of determining your character and viability. Keep your credit rating strong and it can help you lower the cost of your auto insurance.
6. Keep your grades up: This is a factor for young drivers where insurance companies will consider grades in high school as a factor proving responsibility with young drivers. Since you, as a parent, may be paying some or all of the insurance premium for that young driver of yours, encouraging them to hit the books makes financial sense.
7. Avoid traffic convictions: The best way to avoid traffic convictions is to avoid traffic citations. As mentioned above, this means driving responsibly and driving aware. Follow the Rules of the Road and you may not find yourself standing in front of a judge who will make decisions that could adversely affect the cost of your auto insurance. 
8. Keep your vehicle operating safely and reliably: The National Highway Traffic Safety Administration lists a wide variety of factors that cause accidents – including operator error, distractions, impaired driving, fatigue, lighting, weather and road conditions and, yes, mechanical failure. Driver error is a great-big part of this but the latter cause is also prevalent. As many or more than 1 in 10 accidents may be a result of mechanical failure. This includes mechanical failure from normal wear, lack of proper maintenance and manufacturing design flaws. There’s not a lot you can do about the latter, other than watch for recalls. But, you can do a lot about the other two by staying on top of your vehicles maintenance. 

When you shop around for auto insurance, don’t just compare insurance companies; also compare agents. A good auto insurance agent can make a world of difference when you have an accident and you’re counting on your insurance company to come through for you. A bad auto insurance agent can leaving you holding the bag.