As car insurance rates rise, try these money-saving tips

— -- As the price of gas accelerates toward $4 a gallon, perhaps it's time to think about another painful cost of driving: auto insurance.

After falling or remaining flat through 2007, average auto insurance premiums rose during the first quarter of this year, a new survey by Insurance.com, a website that lets consumers compare insurance quotes, found.

Rates increased by an average of 1.05% in the quarter and are likely to continue rising through the rest of the year, says Sam Belden, consumer director for Insurance.com.

Robert Hartwig, president of the Insurance Information Institute, concurs that auto insurance rates rose during the first quarter but says the increase added only $8 to $9 to the average consumer's annual bill. "The cost of auto insurance is, on average, increasing, but at a very modest pace and well below the pace of overall inflation," he says.

Still, whether your rates are rising or remaining flat, auto insurance is a big expense. In 2005, the latest year for which figures are available, the average annual cost of auto insurance was $829, according to the insurance institute.

Fortunately, there are steps you can take to lower your insurance rates. The first, and most important, is to drive as though your mother were sitting in the passenger seat. Even one speeding ticket could raise your insurance premium. Conversely, many insurers will lower your rate if you haven't had an accident or been ticketed in the past three to five years. Other tips:

•Raise your deductible. If you have a $200 deductible on your policy, raising it to $500 could reduce the cost of collision and comprehensive coverage by up to 30%. Raising your deductible to $1,000 could lower your premium by 40% or more, according to the institute. Just make sure you have enough money put aside to cover the higher deductible amount in case you're in an accident.

•Take advantage of discounts. Many insurers provide a discount of up to 15% for teenage drivers with a B average or higher in school, Belden says. Some also offer a 5% to 10% discount for policyholders who take a defensive driving course.