It is prudent to have adequate auto insurance, which is a smart choice, though it adds to the driving costs. A wide number of factors can influence the premiums which can make an impact worth hundreds of dollars. There are practical auto insurance tips to ensure that insurance is in tune with your needs. One can review the coverage at the time of renewal by adopting these smart ways to save money on insurance.

Here’s a look at some smart auto insurance tips:

1. Look around for an optimum car insurance provider
Premiums and offers vary from company to company. It is best to get a minimum of three quotes from different companies. Also, get quotes from different types of companies and ask for recommendations from friends and relatives.

2. Make comparisons on insurance costs
When researching and deciding about which car to buy, also ask questions on the insurance. Because premiums take into account factors such as cost of repair, safety records, and the car’s price. A car that ranks higher on the safety index is likely to have lesser premium. Similarly, there would be lesser premium on car that is less prone to theft.

3. Minimize insurance on the older car
Get the value of your older car assessed on free sites such as the National Association of Auto dealers, Kelley Blue Book, and True Cars. If the value is less than 10 times that of the premium, a comprehensive coverage will not be a good auto insurance tip.

4. Combine and/or retain insurance with the same company
Rather than buying separate insurance from different companies, it is a sound auto insurance tip to bundle different policies together. Many companies offer a discount if you buy more than policies such as home insurance and auto or more than one auto together.

5. Good credit history is a plus
The best auto insurance tip is to have a solid history of credit because this is an added advantage including lower insurance costs. Keep a tab on your credit score and ensure that the information is correct.

6. Check out group insurance
Find out from your affiliated organization if they offer group insurance. Some companies give lower premiums to drivers with group plans who come through the channel of employers’ professional and/or alumni groups.

7. Ask about other discounts
Some insurance companies offer discounts to policyholders. For instance, discounts to those who have not had any accidents or violations. Similarly, some companies offer a discount if there is a young driver who has taken a comprehensive driving course, or who has been a consistently good student. As an additional auto insurance tip, it is crucial to ask your provider about the deals and discounts before signing on the dotted line. However, it is important to keep in mind the final cost of the policy. This is so because it is highly likely that there is a company that does not offer discounts but is still able to offer a lower premium on your car insurance.