Before you skip buying auto insurance, there are some things you should know about penalties for driving without insurance.  While each state has its own car insurance laws, chances are you’ll face stiff penalties if you get caught driving without insurance.

These penalties range from a fine of $100 to $500, driver’s license suspension, and even jail time (if you get caught driving after suspension of license).  If worries about these possible penalties don’t motivate you to purchase auto insurance, consider that you could get into even more trouble if you are the at-fault driver in a serious accident.

If you cause an accident, you can be held responsible for damage to the other party’s car, plus any medical bills and even lost wages if they’re seriously injured.  You could even be sued for personal injury, and if a judgment is entered against you, you face having your assets seized or your wages garnished.  When you consider that even a minor fender-bender can result in thousands of dollars worth of damage, shopping for car insurance doesn’t seem like such a bad idea.

Each state has different requirements, but nearly all require liability insurance.  Liability insurance is coverage that pays for the property damage and medical bills of the other driver if the accident is your fault, but remember that it won’t pay for any of the damages to your car or your own medical bills.

Most states have certain minimum limits of liability.  These are minimum amounts of insurance coverage that you are required to carry for property damage and bodily injury.  You should be aware that these minimums aren’t always enough to cover all of the other party’s expenses in an auto accident, and you could still be sued for the remaining amount once the insurance coverage has been exhausted.  This is why it’s a good idea to consider buying auto insurance coverage over the minimum requirements.

Before shopping for car insurance, it’s a good idea to take a look at your state’s laws regarding auto insurance coverage.  A simple way to do this is to simply Google the name of your state, followed by the phrase “auto insurance laws“.  Make sure you get information from an official government website, since you could run across one of the many websites that work by getting leads for car insurance quotes.  If you run across one of these sites, you can’t be sure that any information provided about state insurance laws is fully accurate.

You don’t need to avoid these sites entirely, and they can actually be useful to you once you’ve verified your state laws.  A site that offers online insurance quotes can help you get the cheapest car insurance.  This is because you can compare car insurance quotes from a variety of companies.  Letting them compete for your business means that you are more likely to get a decent car insurance rate.

When you shop for an insurance quote, it’s best to compare offers from at least three different companies, since you will find that auto insurance rates vary considerably from one company to the next.  If you’ve been without auto insurance for a while, and especially if your driving record isn’t spotless, you will most likely pay a bit more than someone with a clean record and consistent insurance history.  Comparison shopping with multiple quotes is the best way to get a good deal, and you’ll be glad to know that with a good driving record and insurance payment history, your premiums will decrease over time.

Given the potentially high costs you might have to pay as a result of driving without insurance, it’s really not worth it to avoid buying car insurance.  Yes, you will have to pay monthly premiums.  But driving a car comes with responsibility, and that means obeying your state’s laws and protecting yourself from liability for unintended accidents.  It’s better to simply bite the bullet and pay for auto insurance to avoid the fines, license suspension, time in jail, and even personal injury lawsuits, that could result from driving without insurance.

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With gas prices reaching close to $4.00 a gallon nation wide, everyone is looking for ways to cut their expenses.

One way of cutting down on the budget is to get the cheapest car insurance available and still have good coverage. You need to find out what companies offer discounts for defensive driving. Which company has discounts for your teenagers?

Many companies take certain situations into consideration; for instance, the number one item on a companies list would be your credit rating. Your credit rating has the greatest impact on your auto insurance.

If you own your own home helps in lowering your premium rates considerably. Having your home and car insurance from the same company helps tremendously.

The more safety features you have on your car helps lower the premium even more. Safety features such as air bags, anti-lock brakes, and automized seat belts in your car, having a small fire extinguisher within reach, keeping good tires on your car, if your car is equipped with environmental units such as emission control.

Any class that you have taken for defensive driving is another advantage you can use. You could check with the local city or state police to find out if they offer classes that may be taken, some insurance companies may even provide classes just for this purpose.

Having good grades in school can reduce your auto insurance, especially if the student maintains a “b” average or higher.

Taking part in a car pool will help lower premiums, as the time you spend on the road in your own vehicle determines how low your rates can become. The further you drive too and from work greatly increase your insurance rate.

If you have a good driving record is another very important aspect that insurance companies look for in a driver.

When shopping around for auto insurance quotes, be sure that the quotes you get from each comparison are for the same coverage that you want from the other companies. One company may offer a low cost, or cheap insurance covering two or three specific items, whereas, another company will offer only one or two of the same coverage and not the other.

When doing auto insurance comparisons check to see if the insurance company offers a discount on people that are below 25 years old.

The cheap auto insurance usually does not cover anyone other than yourself, to operate your vehicle, so never loan your car to your friends or relatives if you are the only person covered on your insurance policy.

When searching for auto insurance quotes online, ask them if there is a discount of some kind for getting online auto insurance.

Check quotes to find out if you can get greater deductions for collision and comprehensive coverage.

The area you will be driving in greatly affects your premium rates, if you are in the city and traffic is heavy will increase your chances of having an accident, rather than living in a rural area and only driving for a short distance.

Insurance companies also consider the fact that if you have had any tickets or been involved in an accident.

If you live in one state and have to move or commute to another state, it would be a very good idea to check with both states insurance laws to make sure that you will be covered in both states. You may have to make a change in your policy that will cover both states.

Looking for many ways to reduce your car insurance comes down to understanding the ways in which you can obtain cheap auto insurance in the first place. Obtaining online car insurance is simple, but finding the cheapest car insurance can be far more challenging as you need to understand the intricacies of what you need to know about how to save perhaps hundreds of dollars with online car insurance quotes.

It may seem to be something you would do when looking to find an online car insurance quote, but, some people do not provide all the pertinent details when filling out the forms. Such things as your zip code, marital status, any of your vehicle’s safety features and how many miles you commute each day will determine how high your auto insurance premiums will be. If you do not provide these details, an online car insurance company will, in turn, quote a much higher auto insurance quote. These details will also help determine what discounts you may also qualify for.

It is important to also shop around for the cheapest car insurance and compare car insurance companies with a magnifying glass. Auto insurance rates can also vary as much as 300% company by company for the exact same coverage. If you spend the time to compare car insurance companies, you can also look to save hundreds of dollars on your yearly premium; but, also look to your own insurance company to negotiate any possible rate reductions based on your own findings.

Every online car insurance company will advise you that, in order to get the cheapest car insurance quote, look to raising your deductible as this equates to lower insurance premiums. Simply raising your deductible from even $250 to $500 can save hundreds of dollars or more per year on your premiums; but, if you take this route, make sure to ensure you have a fund set up to cover what the additional deductible amount will be should an accident occur.

Look to reducing the daily commute miles on your auto as an insurance company will look favorably upon those drivers who generally drive less than 40 miles per day as they will qualify for a low mileage discount. While looking into the low mileage discount to obtain cheap auto insurance, inquire from the online car insurance company what the difference in premiums is for switching the main drivers on the policy. It may seem a bit backward in thinking, but, especially in the case of a married couple, sometimes switching the driver of a truck from a male driver to a female driver and switching a female driver to a male driver on a minivan may reduce the annual premiums. If you are looking to insure your teenage driver, look to insure them on a safer vehicle such as the family sedan and not on what your teen wants, such as a flashy sports car.

Finally, to obtain cheap auto insurance, look to adding on an anti-theft device or tracking system, such as a GPS, as this will count towards another discount. This savings are passed onto the insurer based on the reduction of your vehicle being stolen.