Read this tip to make your life smarter, better, faster and wiser. LifeTips is the place to go when you need to know about Determining the Auto Insurance Premium and other Car Insurance topics.
Sometimes, even if you haven't gotten into an accident and you haven't gotten a ticket and you've been a really good driver, you open your renewal notice to find your monthly payment is a little higher than you are used to. You can call your insurance company and ask them about it, but you'll find that every once in a while a company institutes a company-wide auto insurance premium increase. You might not like knowing your insurance premium went up even though you didn't do anything wrong, but prices go up on everything eventually and auto insurance is no different. First look at your coverages. Are there any that can be changed or lowered without putting yourself at risk? If you raise your deductible, will you be able to pay it in the event you have an accident and need to use your comprehensive or collision coverages? If you can't afford your deductibles and lowering your liability coverage will put your family at risk by being under-insured, that means your last option is to shop around for lower rates.
Sometimes, even if you shop around your raised rate might still be lower than quotes from other companies. If that is the case, be happy you have the lowest rate and don't worry about the increase. Just keep an eye out for lower rates and better quotes in the future.