Your credit score means everything; and this holds true today even more so than ever before. Now, even auto insurance companies are using your credit score to determine your insurance premiums; whether you like it or not.

This is why it is so important to maintain clean credit record and a good credit score. Make sure to pay all bills and debts on time, and avoid incurring massive credit card balances that you won’t be able to pay off. Additionally, you should make sure to monitor your credit report on a regular basis, including receiving a report before consulting with an insurance agent.  This may give you new information about unknown/unpaid debts, and ultimately, really help you to obtain cheap car insurance rates.

And if your credit is already damaged due to outstanding debts don’t worry – it can be fixed, though it may take a little bit of time, patience, stress, and of course, money. But if you are able to do so successfully, you will see your auto insurance premiums decrease almost immediately.

A clean driving record means lower premiums. Typically, auto insurance premiums are raised by nearly 40% after your first at-fault accident; this can cost you as much $160 on a $400 premium. Driving carefully and safely while on the road can save you quite a bit of money in the form of cheap car insurance premiums, as well as costs of repairing your vehicle.

Each company usually has different specifications as to what exactly constitutes “safe, clean driving”, but nearly every insurance company offers this discount in one form or another. Also, some companies offer a “first-accident” forgiveness plan; so you may want to inquire about this benefit, too.

Certain insurance companies will lower your premium as long as you have remained free of at-fault accidents, and other companies don’t differentiate between at-fault accidents and those that have been caused by another driver. Besides this, staying free of any moving violations (speeding tickets, stop sign or red light infractions, etc) and avoid parking tickets can also lower your auto insurance premium.

The safer your vehicle is, the more you can save on auto insurance. There are several reasons why it is often cheaper to carry auto insurance on a new vehicle as opposed to an older one – and safety is one of the biggest reasons.

Just like when bad drivers end up seeing an increase in their auto insurance premiums, those who regularly demonstrate the ability to drive safely are usually rewarded with cheap car insurance premiums. However, just because your vehicle is old does not necessarily mean that it is unsafe; and installing extra safety features on your vehicle can actually help to decrease your auto insurance premiums.

Vehicles that feature automatic seatbelts usually have lower insurance premiums, as do vehicles that are equipped with both driver’s side and passenger’s side airbags. In order to get the lowest auto insurance premium that is possible, make sure that your car has all of its mirrors, repair any cracked windshields, and you may even want to purchase new tires before renewing your insurance policy, as all of these factors have been proven to help motorists drive safely.

Unless you are living in a gated community, you are probably not getting as cheap car insurance as you might otherwise, because of where you park your car at night. If you’ve recently installed an alarm system, or if your vehicle is currently equipped with an alarm and you are not receiving a discount, do not hesitate to ask your agent.

Again, each company varies on the amount of discount they are willing to offer for vehicles that feature fully-functional alarm systems, but the common amount is anywhere from 5% - 25% on the theft section of your auto insurance. While it may cost you a little bit of out-of-pocket cost to have an alarm installed in a vehicle that doesn’t already have a system, the lower insurance premiums will cover that cost in no time.

Furthermore, some vehicles have “passive” or “auto-enabling” car alarms which will arm themselves after a certain period of time. Make sure to let your insurance agent know if this is the case, as these types of vehicle alarms can save you even more money.

This is another aspect of vehicle security, and this is a factor that is relied upon quite heavily in order to determine exactly how much you will pay for your auto insurance coverage. Because automobile theft and vandalism has been on the rise over the past few years, insurance agents have had to increase auto insurance premiums in order to be able to pay out on all the claims.

However, cars and vehicles that are parked inside a garage or a carport almost always cost less to insure than those that are just being parked on the side of the road, or even in a driveway for that matter; regardless of what your neighborhood is like. Conversely, parking in a public parking garage at night or during the day (even if you are required to do so for your job) can actually increase your auto insurance premiums, so you will want to be aware of this, as well when shopping for cheap car insurance.

Make sure your family status and other personal information is correct. Many people assume that just because they have given their insurance agent their personal information that it will be entered into their computer correctly – however, this is not always the case. Your insurance agent is a human, and we all make mistakes. But when it comes to your auto insurance premium, even something as simple as a misplaced letter or a missing number can save you hundreds of dollars on your insurance costs on a yearly basis.

Taking the time to double-check and make sure that your insurance agent does indeed have all of the correct information listed concerning your account and any other immediate family can result in quite a decrease in the amount you will pay for your auto insurance premium. You may even want to triple-check their information to make sure things like birthdates and credit scores are correct, as these factors will have the biggest impact on your ability to get cheap car insurance. You will also want to make sure that your insurance agent knows whether you are married or single, as auto insurance rates tend to be slightly less for married couples.

If you have reached a certain age (usually 55 or 65, depending on your area) you may be eligible for an additional discount on your auto insurance premium; and you might not even be aware of it. In fact, many recent retirees tend to withhold this information from their insurance agent thinking that simply because they are retired means that they will pay more for their auto insurance – but in all reality, it is actually the exact opposite.

As retirees tend to drive less, especially recent retirees, you are likely to see some nice savings on the amount of money that you used to pay to your insurance company. This is a very common type of discount that is offered by many cheap car insurance companies out there, but again, this is one of those discounts that you will have to ask about – don’t expect your insurance agent to offer this one up, even if they are aware of your exact age and retirement status.

This is another very common discount that is available from nearly all auto insurance companies. However, you will have to ask your agent about this one, as well. But depending on exactly what group affiliation you have, you may be able to save some serious cash on your auto insurance premium.

Make sure that your insurance agent is aware of any and all group affiliations, no matter how small an organization may be or how mundane your affiliation seems to you; you never know what hidden discounts may be available from your auto insurance agent. Some of the most common affiliations that are likely to land you a decreased insurance premium include your employer, any military or veteran’s groups, your Alma Matter, and a variety of other professional organizations.  Even certain discount clubs and associations can also help you to get cheap car insurance. However, you will always want to shop around to be sure.

In fact, some members of drivers clubs report saving several hundred dollars a year on their auto insurance premiums. You can even save money on your premiums just by being a member of some of the lesser known associations as well, such as Mensa (the club for people with really high IQ’s)!

There are many types of different driving classes available that, upon successful completion, can also help to lower your auto insurance program. Some of these classes may be recommended by an insurance agent, or even used as a requirement for other benefits – or you can seek out these classes on your own.

When considering taking driving courses to help you get cheap car insurance, defensive driving classes are typically your best bet, as those who drive defensively are typically involved in fewer accidents than other drivers. But if you sign up for a class like this in an effort to lower your auto insurance premium, make sure that you are able to complete the course.

Failure to complete a defensive driving class that has been recommended can actually result in an increased auto insurance deductible, and in severe cases, even suspension or revocation of your auto insurance altogether. After you have taken and completed a defensive driving class, however, make sure to notify your insurance agent right away.

Being a better student can not only help your likelihood of getting into college, but it can also help you save money to put towards college. Getting good grades can improve your chances of getting cheap car insurance.  Many drivers don’t realize that their success in school plays a role on how much they pay for auto insurance, but it does.

In fact, many companies offer a discount for drivers who have good grades, or for those who maintain a certain grade point average. However, if you don’t bring a report card or statement to your insurance agent to show them, they’ll have no way of knowing. If you are a college student, make sure to inquire about this discount beforehand, and bring in your documentation with you to their local office.

To compliment this, teen drivers with good grades who are under their parent’s insurance may also be able to a lower auto insurance costs – but just like with many of the other discounts out there not only will you have to ask in order to receive it, but you will also be required to provide proof in the way of an official school report card.

And finally, while we are on the topic of teen drivers and education, there is another commonly overlooked discount that you should be aware of. Many companies will be willing to provide you with a lower auto insurance premium if your child attends school over 100 miles away, as well.