When it comes to car insurance, you can find a wide variety of options. Many people choose the same person that insured their parents car. It is only when they get older that they start to understand the wide variety of options they have. The economics of low cost auto insurance are usually driven by fixed cost structure. All those ads you see on TV can get expensive for the big guys. When I was younger, my driving record was not the best in the world. Actually I probably ranked with some of the worst teenage drivers around. The first check I ever wrote was to pay a speeding ticket. It was a late night coming home from work. I was in a hurry because I had a biology test the next day. I was a senior in high school and working to have money for college and fun. My grades were extremely important too though as I was looking to earn some scholarships as well. So a late night at work left me with little time to finish my homework and do some studying before the next day’s test. When I saw the blue lights flashing behind me, my heart nearly jumped out of my skin. Living in a small town as some good things about it. It also means the cop probably knows your parents. The officer and I had a nice long chat about my driving that night. He mentioned several times about the possibility of calling my parents and waking them up. There are few things that scared me more than the thought of my dad being woken up at 2am by a police officer calling. It didn’t happen that night but unfortunately did happen before the year was out. But that’s a story for another day. One of the first things a cop asked when they pull you over is license and registration. They usually also ask for proof of insurance these days. Luckily I had all three of them at the time but it took forever to find them. Shaking hands will do that do you. After my speeding ticket caused my insurance to skyrocket, I realized how important it was to start shopping around for low priced auto insurance. I had to wait until I got out of high school though as I was on my parents insurance. I was pretty amazed at the savings you could find if you dug a little bit. Finding good solid coverage and a great price can be a challenge if you don’t have the right resources. It is important to be on the look out for the best deals. I have switched several times over the years when I found good deals.
The Economics of Low Cost Auto Insurance
December 24th, 2010
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