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Shopping for auto insurance can be a bit confusing for an inexperienced customer. The large number of variables taken into account when a quote is calculated sure looks very complex. But it doesn't take a doctor in statistics or insurance pro to grasp the most important rules of auto insurance. In fact, there are simple yet very important things you should learn about insurance before even trying to insure your car. One of these things is the correlation between the type of car you're trying to insure and the approximate range of auto insurance quotes this particular type will garner. If you wonder why there's even a relation between these two aspects of insurance, here are some brief explanations on each car type from the insurance perspective:

Small cars
Despite the usual convenience and benefits of small cars, they are typically expensive to insure. This may seem strange, but once you learn the statistics the trend becomes more obvious. Small cars are mostly used in large urban areas with heavy traffic, thus the higher risk of having an accident. Besides, when a small car crashes the cost of repairing it is higher compared to a larger vehicle, since small cars have lower mass and tend to take more damage during the collision. So if you're looking for very low auto insurance quotes - this is not your car type.

Medium sized vehicles
Medium sized cars usually represent the golden middle of all the factors concerning auto insurance and driver convenience. They are typically cheap to repair, have good safety features, don't get stolen too often and produce fewer accidents. Of course, this doesn't concern all vehicles of this type as there can be significant differences across different makes and models. However, if you want affordable auto insurance, it's most possible to get with this car type.

Minivans and SUVs
Large vehicles offer a higher degree of safety and security when compared to smaller vehicles. However, they tend to produce more damage when ending up in a collision, which directly reflects in the average amount of third-party liability payouts by insurance companies. Thus, you will always get higher auto insurance quotes when trying to insure your truck or SUV.

Sports and performance vehicles
Sports and muscle cars can be surprisingly affordable if compared to other vehicle types. However, prepare to pay up for having extra horse powers under the hood since this vehicle type tends to be the most expensive in terms of insurance. Performance vehicles provoke a more aggressive driving style that often results in traffic accidents. Moreover, the damage produced in such accidents can be very severe since it is delivered with high speeds. Besides, fast cars often end up on the lists of car thieves. So you get a perfect combination for the most expensive car to insure.

Luxury and expensive cars
In case you are able to purchase a $100K+ vehicle, hunting for low auto insurance quotes shouldn't concern you. Nevertheless, it's not about the value of the car that renders expensive vehicles somewhat costly to insure. These are often very expensive at repair with scarce parts that are sometimes shipped directly from the producer. Besides, these cars represent a particular interest for thieves, especially in large urban areas. Still, if you shop around insuring such a vehicle can be rather affordable.

Collectibles
Classic and vintage vehicles stand in a league of their own when it comes to insurance. They often require special insurance to be purchased with strict limits on yearly mileage and rigorous requirements on their storage. Auto insurance rates may vary significantly depending on the car and the company you're quoting with.

You may have noticed the big dispute over the mandate to buy health insurance. The Supreme Court will tell us later this year whether it's constitutional. In the meantime, we've had mandatory auto insurance for decades. The consequence of this mandate is that no insurance company can refuse you real auto insurance quotes on grounds that would amount to discrimination on the basis of your gender or race. Indeed, so long as you have a good track record as a driver, you have a right to buy insurance. If an insurer makes life difficult, you can complain to your state's Insurance Commissioner.

So let's assume you have no more than three points on your record and the insurer does not advertise itself as a specialist, i.e. only selling to members of the military or teachers, and you do not qualify, you can apply for a policy whenever you have an approved vehicle. Once you are driving legally, you have the right to sell the vehicle and cancel the policy. The mandate only requires you to hold a policy so long as you own a vehicle. If you want to change the vehicle or you are simply looking to save money on the monthly payments, you can cancel at any time and buy reduced coverage. There's no penalty although some insurers do make an administrative charge if you prefer not to wait through the period of notice between one policy and the next. If you are changing policies, make sure you get the timing right to keep yourself insured. You break the mandate if there's a gap between the cancelation and the new policy.

Then, if you ask questions of an agent, broker or insurance company, you have a right to be told how each of your options affects the cover or the auto insurance quotes on offer. This information must be given promptly. That it may come weeks or months after you have bought a policy, is no defense. Finally, you have a right for any claim to be dealt with fairly and in a timely way.

When you apply for a policy, insurers take a wide range of factors into account to decide whether you are likely to make a claim. Some insurers assign you to a risk tier, i.e. you are grouped with people who represent a similar level of risk, or you are given a score, i.e. like a credit score. Each company has its own system for assessing your risk profile. That's why it's always worth shopping around. What some insurers classify as high risk, may be treated as less threatening by others. So premium rates can vary quite significantly between the insurers. However, there are a number of common factors in deciding whether you get cheap auto insurance.

It starts with who you are. Young and inexperienced drivers, and seniors over the age of 65 have more accidents. Gender is important as women tend to drive more safely than men. Now we get into the variables. Where you live and your job directly affect the rates. Some ZIP codes have high rates of theft and vehicle damage. Some jobs are associated with poor levels of vehicle maintenance and higher numbers of accidents. How far you drive every week and what the road conditions are like directly affect the risk of an accident. The last thing is that single or older couples have fewer accidents that young married couples, according to the statistics.

Now we come to the really important factors. If you buy a make and model with an excellent safety record which is difficult to steal, the auto insurance rates will be low. But if you buy a high-powered monster that's very expensive to repair or replace, the rates will be high. It's the same with your driving record. If you have never picked up a ticket in thirty years of claim-free driving, you have qualified for cheap car insurance. If you have multiple violations, particularly involving alcohol or drugs, you will be classified as high risk and the premium rates will be astronomical. Buying any kind of insurance on the voluntary market is indeed something that you may find quite difficult to do.

Nobody likes paying more for something than is necessary. Auto insurance is no different. Since it is required, you cannot avoid paying for insurance. But you do have some control over how much you pay. With cheap car insurance, you can save hundreds of dollars on your annual premiums. There are several ways you can get this type of insurance.
Driving Record
Customers with good driving records will have better rates than those with speeding tickets or accidents on their record. A clean driving record, especially over a long period of time, tells the insurance company you are not a risk to them. And, at the heart of it, that is really what your premium rate represents - the amount of risk you pose to the company. If you have blemishes on your record, work to improve it. This will take time as violations stay on your record for a period of time. However, you can enroll in an advanced driving course to demonstrate your commitment to safe driving.
Credit Score
Like your driving record, your credit history paints a picture for insurance companies. The industry belief is that if you have a poor credit score, you are more likely to submit claims. While this is not necessary true for every individual, it is based on industry experience. Many people are not even aware their credit score is used to determine insurance rates. Insurance companies do not have to get your permission to access that information so you may not know they have until you get a final proposed rate.
Discounts
Another great way to get cheap car insurance is with discounts. Insurance companies use discounts to reward customers who meet certain requirements. While they are not all the same, companies tend to offer standard discounts as well as their own discounts. The more discounts you receive, the more you save on premiums. It is possible to save hundreds of dollars on annual premiums with discounts alone.
Comparison Shop
Contact several cheap car insurance companies to get quotes from them for specific coverage. Be sure to ask about discounts. Then compare policies and rates to see which is best. If you want to stay with your current insurance agent but you received a better offer from another provider, take that offer to your agent and see if they will match it which they probably will to keep you as a customer.

Although each state appoints its own Insurance Commissioner with jurisdiction limited to that state, the Commissioners have long recognized the need to coordinate their activities. It would be significantly unfair if there were major differences in the scope and cost of insurance between states. Just imagine a state line passing down the middle of an exurb. On one side, insurance companies offer generous coverage, superior service and all at modest rates. On the other, the insurance companies have a reputation for limited coverage, hostility when it comes to handling claims and high premium rates. Since the law prohibits people from buying insurance cover across state lines, the accident of where customers live would doom them to a good or bad insurance experience. Hence, there's a National Association of Insurance Commissioners (NAIC) where all the Commissioners meet to exchange ideas and, where possible, agree consistent policies. This effort is supported by the Center for Insurance Policy Research and a number of joint working groups on the different types of insurance.

Not surprisingly, the NAIC and its various working groups are viewed with some degree of hostility by the insurance industry. The insurers prefer to be able to pick off the Commissioners state by state behind closed doors. Once the Commissioners begin to exchange information, it limits the power of the insurers to lobby. This has prompted a number of attacks on the Association. Most recently, the Republican party challenged the NAIC to explain its status under the Dodd-Frank Act as reformed. In particular, it was asked whether it accepted the rule that all its meetings should be open-door. This is very important to the lobbyists. If those representing consumers are allowed to make presentations without the insurers being allowed to rebut what might be damaging, the Commissioners might decide to move into a more proactive role to police insurers for the benefit of consumers.

As an example, let's look at a recent report issued by the Consumer Affair Committee. It adopted work done by the Consumer Federation of America alleging low-income drivers were being hit by higher premium rates for coverage less generous than offered to more affluent drivers. The supposed reasons for this discrimination were the risk factors used by most insurers, namely: ZIP code, jobs, educational attainments and credit rating. This is not the first time it's been alleged the low- and medium-income drivers are disadvantaged. We all know the ZIP-code lottery on premium rates and the suggestion this produces a result that not only discriminates on the basis of income, but also on the basis of race given that many areas with the worst ratings are predominantly Latino or African American.

When it comes to car insurance rates, there's no doubt there's a case to be answered by the insurance industry. The question for the NAIC was whether the industry was prevented from making its case at this particular meeting. The question of credit-rating is hot right now with the issue getting on to the 2012 electoral ballot in Massachusetts. Consumer groups are more actively pushing policies to force the insurers to focus on the individual driver's safety record. It's going to be interesting to see how industry representatives defend the current car insurance rates at the next public meeting of the NAIC.