Smart Ways to Save on Auto Insurance

Good ideas and things to think twice about

NORTHBROOK, Ill., Feb. 26 -- Across the country, people continue to look for ways to stretch their budgets and cut costs. But when trying to cut costs on auto insurance, consumers should be wary of making penny wise, pound foolish decisions that could put them at risk financially. Allstate is providing some helpful tips on auto insurance savings.

In a rush to save money, consumers should be careful not to cut corners in areas that help protect them and their families. Although it is important to save money in the short-term, consumers could find themselves unable to pay for auto repairs or for liabilities to others in the case of an accident.

Since insurance is designed to help protect consumers against the unknown, it can be difficult to know how much protection is needed. Allstate is providing some pointers for how to help keep protected while still saving money.

                Smart Ways to Save on Auto Insurance

         Good ideas:                  Things to think twice about:

         Slow down.                   Your deductible.

         Buy the right car.           Your liability limits.

         Pay your bill through        Uninsured motorist coverage.
         automatic withdrawal.

         Insure your car and          Personal injury or medical payments
         property with the same       coverage.
         company.

         Study hard.                  Comprehensive coverage.

  Five good ideas:
  --  Slow down. Drivers who have had accidents or serious traffic
      violations usually pay more than those with clean driving records, so
      consider safe driving a financial investment. With Allstate's safe
      driving discount, safe drivers can save up to 20 percent.
  --  Buy the right car. A car's value, age, safety record and repair costs,
      as well as the likelihood that it could get stolen, all help determine
      insurance premiums. Also, certain car features may generate insurance
      savings. For example:
      --  In most states, a car equipped with factory-installed anti-lock
          brakes can save you up to 10 percent, and airbags or motorized
          seatbelts could reduce your premium with Allstate by up to 30
          percent.
      --  A brand-new, never-been-titled car could reduce your Allstate
          premium by 5-20 percent, depending on the state and model-year of
          a vehicle.
  --  Pay your bill through automatic withdrawal. Many insurance companies
      offer payment choices through automatic withdrawal. In addition to the
      convenience, the Allstate(R) Easy Pay Plan offers automatic withdrawal
      from a person's account and may provide a discount of up to 5 percent
      on premium, depending on the state.
  --  Insure your property and car with the same insurer. Drivers who have
      Allstate property insurance may qualify for lower auto insurance
      premiums by as much as 10 percent, and could also save on their
      property insurance, as well.
  --  Study hard. In most states, full-time students who meet GPA
      requirements could save on auto insurance premiums with a discount of
      10-20 percent.

  Five things to think twice about:
  --  Your deductible. The higher the deductible, the lower the premium;
      however, you should make sure you can afford to pay your deductible if
      you have an accident. Raising a deductible higher than you can afford
      could prevent you from being able to fully repair your car after an
      accident.
  --  Your liability limits. If you're at fault in an accident, you could be
      held legally responsible for the medical and repair costs of others.
      Liability coverage can help protect policyholders from these
      potentially devastating expenses.
  --  Uninsured motorist coverage. Uninsured motorist coverage can protect
      you if you are injured in an auto accident caused by someone with no
      insurance. A recent report by the Insurance Research Council predicts
      that the percentage of uninsured motorists will increase nationally
      from 13.8 in 2007 to 16.1 percent in 2010. Consumers should review
      their auto insurance policies to ensure they have the coverage amounts
      they need.
  --  Personal injury or medical payments coverage. Accidents are never
      planned, but planning ahead with the right insurance coverage can make
      a huge difference following an accident with injury. Medical Payments
      coverage helps pay for medical treatment for accident-related
      injuries. Personal Injury Protection helps reimburse people for lost
      income, child care expenses, medical expenses, and other costs that
      may result from accident injuries. Check with your local agent to find
      out which of these coverages are offered in your state.
  --  Comprehensive coverage. Comprehensive coverage helps protect cars in
      situations that don't necessarily involve other drivers or vehicles,
      such as damages from a storm or natural disaster, vandalism, or even a
      falling tree. Since policies typically cap coverage at the actual cash
      value of the car, the older your car is, the more you might consider
      dropping this coverage.

Putting these cost-savings tips into action doesn't have to be complicated. Currently, Allstate is offering all consumers - Allstate customers or not - a free review of their current insurance limits and deductibles through the "Good Hands Coverage Check-up." An Allstate agent can point out where they may need more or less coverage. Information on local Allstate agents can be found at www.allstate.com or by calling 1-800 Allstate.

Discounts are subject to terms, conditions and availability. Discount amounts shown are lower in some states. Property insurance is subject to availability.

The Allstate Corporation is the nation's largest publicly held personal lines insurer. Widely known through the "You're In Good Hands With Allstate(R)" slogan, Allstate is reinventing protection and retirement to help individuals in approximately 17 million households protect what they have today and better prepare for tomorrow. Customers can access Allstate products and services such as auto insurance and homeowners insurance through approximately 14,700 exclusive Allstate agencies and financial representatives in the U.S. and Canada, or in select states at allstate.com and 1-800 Allstate(R). Encompass(R) and Deerbrook(R) Insurance brand property and casualty products are sold exclusively through independent agents. The Allstate Financial Group provides life insurance, supplemental accident and health insurance, annuity, banking and retirement products designed for individual, institutional and worksite customers that are distributed through Allstate agencies, independent agencies, financial institutions and broker-dealers. Customers can also access information about Allstate Financial Group products and services at myallstatefinancial.com.