Comparing car insurance from online companies saves time, is easy to do and at the same time you can save money. The key to finding lower rates is to compare rates from as many companies as possible in order to have the lowest prices.

Using the web to shop for car insurance direct is challenging if you are a beginner to online rate quotes. Don't let that stop you because it's actually quite easy. There are several ways to compare quotes from local car insurance companies. The easiest way to compare involves getting comparison quotes online. It is quite easy and can be accomplished by comparing rates here.

What factors determine the rate you pay?

Car insurance premiums for your 2001 will vary greatly and are calculated by many factors. Taken into consideration are:

• Tickets increase premiums
• Your credit history
• Your gender can raise or lower rates
• Deductible amount directly impacts your rate
• Your vehicle's safety rating
• Your occupation
• Your coverage level
• Whether you rent or own your home

An additional factor that can impact is the year of the vehicle. Used vehicles have a reduced actual cash value than newer models so the payout to repair may end up costing you less. On the flip side, newer models may have safety features like anti-lock brakes, pedestrian detection, active head restraints, and an advanced theft deterrent system so those may lower rates.

Liability coverage - This protects you from damages or injuries you inflict on other's property or people. Liability insurance covers things such as emergency aid, pain and suffering, and medical services. It is cheap coverage so you should buy as much as you can afford.

Collision - This coverage pays for damage to your resulting from colliding with an object or car. You have to pay a deductible then the remaining damage will be paid by your insurance company. Collision coverage makes up a good portion of your premium, so analyze the benefit of dropping coverage from older vehicles. You can also raise the deductible to get cheaper .

Comprehensive coverage - Comprehensive insurance coverage pays for damage that is not covered by collision coverage. You first must pay your deductible and then insurance will cover the rest of the damage. The maximum amount you can receive from a comprehensive claim is the cash value of the vehicle, so if it's not worth much more than your deductible consider dropping full coverage.

UM/UIM Coverage - This protects you and your vehicle's occupants when other motorists do not carry enough liability coverage. Because many people only carry the minimum required liability limits, it only takes a small accident to exceed their coverage. That's why carrying high Uninsured/Underinsured Motorist coverage is a good idea.

Medical payments coverage and PIP - Med pay and PIP coverage kick in for expenses such as doctor visits, EMT expenses, and X-ray expenses. They are often utilized in addition to your health insurance plan or if you lack health insurance entirely. PIP coverage is not available in all states and gives slightly broader coverage than med pay.