Ten tips on getting the most of your automobile insurance

If you own a car, you're required by law to have automobile insurance. Although it's in your best interest to have full coverage, you are only required to carry liability insurance on your car, which pays any damage you do to another person's vehicle if you're at fault. Car insurance is quite costly and it pays to know how to get the most out of your policy. Here are ten tips to help you next time you're shopping for automobile insurance.

1.  Whatever you do, don't let your insurance policy lapse. If you don't maintain continuous coverage, you'll be penalized in your rates when you do renew.

2.  If you own a car which you do not drive because it's not running or the car is simply garaged for the time being, obtain a certificate of inoperability from your local DMV and notify your insurance company. This will prevent the DMV from levying fines and your auto insurance company will not penalize you for lack of proper coverage.

3.  If you're married, but only one of you drives, you'll usually get a better rate if you are both included on the policy.

4.  If you're shopping for a new car, consider the color in terms of your auto insurance rate. For example, a red car will cost you significantly more to insure than a white car of the same make and model. Auto insurers say that statistically, red cars are involved in more accidents than cars of plainer colors. If you're under 25, this is of particular interest. Call for rates before you buy.

5.  If you own a classic or vintage car, you will not be paid the full value if it's totaled unless you obtain a 'declared value' clause which states that the vehicle is certified to have a certain dollar value.

6.  Don't try to fudge when the agent asks about your driving record. They do verify. Fudging can cost you.

7.  Completing an intensive driving course program can save you a bundle on your auto insurance. Such programs do make you a safer driver and better risk.

8.  If you do not have personal health insurance, be sure your medical coverage is up to paying hospital expenses if you are injured in an accident.

9.  Although most auto insurance carriers offer monthly payment plans, you're money ahead to pay for a full six months if you can afford it.

10.  You'd be surprised at the difference in auto insurance rates between various carriers. If you get a quote from a broker, rather than an individual carrier, the broker shops many carriers for you for the best rate.

Drive safely!