The type of vehicle you drive is a significant factor in determining car insurance premiums. A more expensive car is more costly to repair, which means that the claim payout will be higher if you get into an accident. This usually results in higher premiums. However, other vehicle traits can lower your premium, including safety features.

Drivers typically pay less for car insurance if they have a clean driving record. Inversely, a record of accidents and traffic violations will increase premiums. Typically your driving record in the past three to five years influences your rates. If you don’t have a spotless record, there are car insurance companies that provide car insurance for high-risk drivers.

Auto insurance premiums vary depending upon the type and limits of coverage you choose to buy. Most states have minimum auto insurance requirements, and you must purchase at least these coverages and levels to drive legally. However, insurance experts generally recommend higher coverage limits to help protect against costly accidents.

A credit-based insurance score is similar to a regular credit score used by lenders, though it considers fewer factors in the calculation. Car insurers view poor credit scores as indicators of greater risk. Lower credit ratings generally translate to higher premiums. However, some states ban the use of credit scores in determining auto insurance rates.

The area of the country that you live in will also impact car insurance premiums. Each state has its own insurance laws, crash statistics, and cost of living metrics. Drivers who reside in high-crime areas may be more likely to file a claim, such as car theft or vandalism. For these reasons, car insurance rates can vary significantly, even from one ZIP code to another.

In most states, men tend to pay higher premiums than women due to an increased likelihood of risky driving habits. However, several states have banned the use of gender as a rating factor.

Younger drivers have less experience, which can translate to a higher claim risk. The Centers for Disease Control reports that drivers ages 16 to 19 have the highest crash risk of any age group. As you get older and gain more experience, you should see your rate decrease (assuming you maintain a clean driving record). In Hawaii and Massachusetts, though, your age should not affect your premium.

Most car insurance companies offer discounts that can make coverage more affordable.

Common ways to save include:

• Safe driver discounts
• Vehicle safety feature discounts
• Insuring multiple cars
• Low mileage discounts
• Going paperless
• Paying in full

Discounts vary by company, so be sure to talk to an agent to see where you can save.

A good way to see if you are getting the best car insurance at the best price is to obtain a number of quotes from the companies in your area that could meet your needs. Because rates vary by carrier, you could get vastly different quotes from different companies. By carefully comparing quotes, you may find the specific policy that fits best for you.

If you buy more than one type of insurance from the same company, you might save money. There are a number of companies which offer excellent bundling options. Combining home and auto insurance is one common bundle that can qualify you for a discount, but you might get a discount for bundling auto and renters, condo, or life insurance, too.

The best car insurance company for you is going to depend on your situation and needs. For example, the best company for a cheap policy is likely to be different from the best company for specialized coverages. Shopping around could help you find the best carrier and allows you to compare premiums, coverages, discounts, and third-party scores.

One of the reasons why it is important to take more than just price into consideration is to decide how a company’s service stacks up. If a carrier has lower-than-average third-party ratings and high levels of complaints, that could be a red flag. However, keep in mind that everyone has different needs. You could be with a good company and still find the experience underwhelming if the policy doesn’t fit your needs.

Because car insurance is a required expense in most states, you might be looking for ways to cut costs. Shopping around can help, as can taking advantage of discounts. However, one of the best ways to keep your costs low is to maintain a clean driving record. Driving incidents increase your premiums and can affect your rates for three to five years, on average, so practicing safe driving habits can help to shield you from rate increases.