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Auto insurance costs rose six times faster than overall price increases last year, which, quite frankly, is pretty annoying since paying for car insurance is not exactly a fun expense. Unfortunately, having insurance coverage is absolutely crucial to protecting your assets, so it's a necessary evil.

There are some things motorists should not do to reduce prices, like dropping coverage they need or lowering policy limits, as these things could put their personal finances at risk. But the good news is, motorists can get the right policy at the best price if they follow a few savvy tips outlined here.

1. Shop around

The single best way to get the best auto insurance deals is to shop around for them. This may seem obvious, but a huge number of people simply are not checking out their options. In fact, 40% of people only shop around once every few years, while 22% never shop around for coverage at all. That's a shame, since more than three-quarters of people who compare auto insurance quotes end up saving money.

To shop around for coverage, gather some key information like your vehicle's VIN number and the driving history of those who will be on the policy. It's also helpful to look at an existing policy to see what coverage levels to look for.

Most insurers make it possible to get quotes online, so visit the websites of at least three to five different insurers to see what they might charge. Start with our picks for the best cheap car insurance to figure out what companies to consider. After getting a few price quotes, pick the insurer with the best deals that offers the desired coverage level and has a solid reputation for good service.

2. Bundle coverage

Most people need more than just car insurance -- they may need homeowners insurance or renter's insurance as well. Buying multiple policies from the same insurer could result in significant savings, with one insurer estimating up to a $950 cost reduction on premiums.

If policies aren't already bundled, it's helpful to get quotes on a package deal from different insurers in order to get the best price.

3. Pay premiums upfront

Insurers may reward those who are willing to pay an entire year's premiums all at once. Discounts can range from 6% to 14% on average for making just one payment instead of several. This may be a big upfront expense, but if it is affordable, there's no reason to pass up this savings.

For drivers who can't cover this all at once, it may be worth looking into a 0% APR credit card that offers 12 (or more) months to pay without interest charges. By putting premiums on the card, drivers could get the discount for paying a year at once, but still pay it off monthly -- as long as they are sure they will be able to pay the balance in full before interest starts accruing.

Those who can pay all at once may also want to use a credit card to pay their premiums, as doing so could earn them rewards or help them qualify for a new cardmember bonus. The best sign-up bonus cards typically require new cardholders to spend a certain amount on their card within a certain time period after opening the card -- like a requirement to spend $1,000 within 90 days of account opening, for example. Paying a whole year's premiums on your card could make a huge dent (if not totally satisfy) many sign-up bonus requirements.

By following these three tips, hopefully drivers can end up saving on coverage even as premiums rise. After all, it's nice to be left with a little extra cash in our bank accounts for something more enjoyable than auto insurance premiums.

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