In most areas of the country carrying auto insurance is a requirement. If you were to get in an accident and you didn't have car insurance you could be in major trouble. However, just because you need to carry car insurance doesn't mean that you have to overpay on it. Luckily, there are some simple things that you can do to keep your insurance costs low and still get the coverage you need. Here are a couple ideas.

1. Carpool

When they calculate how much you owe in premium costs they do it based off how much you drive your car. This is because the more your drive your car, the more likely you are in to get in a car crash. This is why carpooling can save you a good deal of money. If you can find ways to drive your car less you can get your insurance premium to drop a good deal.

If there is no option to carpool, then you should consider using public transportation. This is an energy efficient way to get back and forth to work, and it can save you money.

2. Raise Your Deductible

How often have you really had to access your auto insurance policy? If you are a safe driver you probably haven't had to access your policy for years, however you still are paying for the insurance every month. This is why, for most people, carrying a higher deductible is a good way to save money. Yes, if you do get in an accident you will owe more out of pocket. But think about how much money you saved every month in premiums. The amount you save will probably exceed the amount you have to pay out of pocket.

If you do raise your deductible, make sure that you have the money set aside, just in case something happens, like in an emergency fund.

3. Shop Around Often

When the insurance company calculates how much you owe in premiums every month they do it based off the year, make, and mileage of your car. The newer the car, the more expensive it is to insure. However, as the years pass you will put more miles on your car, and your car will depreciate in value, however your insurance premiums will rarely go down, they might even go up. This is why it is important to shop around every couple years and make sure that you are not overpaying on your policy.

By doing these simple things you can save on your auto insurance.