How much do you shell out each year for automobile insurance? $800 a year? A thousand? Two thousand? Whatever amount you pay now, you can reduce this amount to more than 50% simply by following these 5 simple strategies.

Strategy 1: Make sure you are getting all the discounts that apply to vehicles with various security features, such as:

    • front, side and curtain air bags;

    • Seatbelts that are automatic;

    • antitheft alarms or monitoring;

    • ABS and traction control 

Think about the safety features that your car has.  Try to write them down.

Strategy 2: Review and Change deductible for Collision and Comprehensive Coverage

Most auto insurance policies carry two deductibles - one for "collision" (you have hit somebody or someone hits you), and the other for "comprehensive" (all other damages or losses). Both have at least a $ 500 deductible - preferably $1000.

Strategy 3: Review and Change of Property Damage Liability

Have you ever encountered a mailbox  worth $100,000? Auto insurance companies must probably have one. Here is why.  "Damage to property" insurance coverage or liability doesn't mean damage to a car, but "property" as a mailbox or a utility pole. Why then in the world would you need $100000 coverage?

In most cases, almost 100% of all claims for property damage can be dealt with only $50000 coverage. So take a look at your contract to see what you are currently paying. And if you have little or no assets, reducing its coverage even lower to $ 25000 or your state minimum is possible. 

Here's what to look for in your policy - many policies today will have its liability in the list as - 50/100/100 - The first two numbers refer to coverage of the liability for injury.

The first number is the dollar amount, per person. The second is the dollar amount per accident.  The third issue is the "property damage liability" which needs to change. What is yours?

Strategy 4: Review and Change Bodily Injury Liability.

Bodily Injury Liability, although a required coverage, still many of the policyholders end up paying more of the coverage than what they really need. This type of coverage specifically covers:

• All occupants of a car, whether their own or someone else;

• All occupants of the other vehicle;

• And pedestrians.

The only goal of this type of coverage is to have enough protection to protect what is yours-your heritage. And in order to protect your property, you must determine what is your net worth - here is a good site to calculate your net worth - www.kiplinger.com <http://www.kiplinger.com>.

Strategy 5: Change and Review Uninsured / Underinsured Auto Insurance Coverage 

The uninsured / underinsured auto insurance coverage is a great deal for auto insurance companies, and bad for you. This premium alone can increase your auto insurance by hundreds of dollars per year.

Most people feel that uninsured / underinsured coverage is there to repair your car, if someone is hit by the uninsured or someone with lousy insurance. This is not true.   Any damage caused  to your vehicle  is already covered - - by the premium paid and by the collision coverage.