Deductibles

• A deductible is the amount that has to come out of your pocket to pay for damages. For example, if your deductible is $200 and you incur $600 worth of damages, then the insurance company will pay $400 of the damages. The higher your deductible, the lower that your insurance premium. If you feel comfortable knowing that you will be paying for the first $500 in damages to your vehicle for each claim, then raise your deductible to $500 and lower your premium.
  
  

Discounts

• Contact your auto insurance agent and ask about the discounts that are available on your policy. Some examples of possible discounts include using theft deterrents such as car alarms or reducing the amount of miles you drive, according Bankrate.com. In some cases, you may find discounts that you did not know existed. Check in every six months to see if your insurance company has issued new discounts.
  
  

Comp and Collision

• Once the value of your vehicle has dropped below the amount of your annual premiums plus the cost of your auto insurance deductible, you can drop the comprehensive and collision insurance to lower your premiums, according to Edmunds.com. If the value of your car has dropped to this point, then major repairs will start to cost more than the value of the vehicle. That makes carry comprehensive and collision insurance unnecessary.
  
  

Shop Around

• Some insurance carriers have discounts for customers that keep contracts in force for several years. But that should not stop you from shopping your business around when your current auto insurance is ready to come up for renewal. Get estimates from at least three other companies, and be sure to get estimates using the same coverage and requirements. Ask your current agent for an estimate of your renewal costs, and then compare the quotes to find the best deal for you.