Inflation has been widespread over the last few years, but the car insurance industry has been hit particularly hard by the higher costs that have resulted from it, which have led to increases in auto repair prices. Over the last three years, auto insurance costs in the U.S. have increased by a staggering 51%, according to. Other factors, like extreme weather events and an uptick in litigation, have also helped to drive up the cost of car insurance. 

Given today's higher cost of auto insurance, many drivers have found themselves at a crossroads and now wondering whether it makes sense to pay more for their policies or risk reducing their coverage, and in turn, their costs. But you may not have to make that choice. In fact, there are ways that drivers may be able to reduce auto insurance costs without sacrificing their security. 

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How to lower auto insurance costs without sacrificing security

Everyone has different risk factors and coverage needs, which impact their car insurance costs. To save money on your auto premium insurance without compromising your protection, though, here are some steps you can take: 

Maximize your discounts 

One of the easiest ways to reduce your auto insurance costs is to take advantage of the discounts you qualify for. Car insurance companies have various types of discounts that you may qualify for to help lower costs, so be sure to inquire about them. 

"A bunch of insurance companies offer you discounts if you have an anti-theft device installed in your car, or if you have a paperless policy, or if you work at a certain job, or if you pay your premium in full instead of in installments every month," says Michael DeLong, a research and advocacy associate with the Consumer Federation of America's campaign for fair auto insurance.

If your current insurance provider offers limited discounts, you may want to shop around and check out other options. 

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Bundle your insurance policies 

Many insurance companies will offer hefty discounts if you bundle your policies, which typically means purchasing your auto insurance and home insurance or renters insurance from the same provider. However, you may be able to bundle other policies with your auto insurance to get this type of discount. So, if you're already paying for multiple insurance policies with different companies, consolidating them through a single company could lead to big discounts. 

Review your coverage 

If you have a full coverage policy, you likely have a combination of liability, collision and comprehensive car insurance. When combined, these coverage options protect you in a range of situations. Your liability insurance covers both bodily injury and property damage to other drivers. While it covers your liability, it doesn't cover any damages to your vehicle. That's where collision and comprehensive coverage help keep your bases covered. Collision coverage kicks in for collision-related events, while comprehensive car insurance covers you for non-collision-related events like theft, fire and floods.  

While these optional coverages boost your level of protection, they also hike up costs. Many drivers can benefit from full coverage, but if you own your vehicle outright and it has significantly depreciated, you may be able to scrap collision and comprehensive coverage. 

"If your car's value is less than 10 times what you pay annually for comprehensive and collision coverage, it probably makes some sense to drop them," says DeLong.

Just remember if something were to happen to your car and you were at fault, then you'd be on the hook for any repairs or to replace it. 

Raise your deductible 

Raising your deductible can be a low-effort way to lower your car insurance premiums without sacrificing security. The deductible on your insurance policy is the part you pay when you file a claim before your insurance coverage benefits take effect. 

"You could increase your deductibles and significantly reduce your cost," says Mark Friedlander, senior director of media relations at the Insurance Information Institute, a national nonprofit research and education organization.

So if your current deductible is $500 and you increase it to $1,000, your auto insurance premiums may drop. Essentially, you're lowering costs now in exchange for the possibility of paying more later. 

If you can afford that jump or have been claims-free, this simple move can result in significant savings. According to the , your premiums may drop 15% to 40%, depending on the deductible you choose. 

Update your mileage 

Have you been driving less? Maybe you're retired, working from home or taking public transportation more often. Whatever the driver, though, if you're racking up fewer miles on the odometer, it may help lower your auto insurance costs. 

"Let the insurance company know because lower mileage means that you are less risky to insure, and you could get a lower premium," says DeLong.

Some auto insurance companies may even offer pay-per-mile car insurance or other types of usage-based insurance that can help reduce costs for low-mileage drivers. 

Keep an eye on your credit 

Insurance companies review many different risk factors when issuing your policy. Some obvious ones include your driving record, mileage and the type of vehicle you drive, but one that might not be as obvious is your credit history. In many states, insurance providers are free to consider your credit as part of the process when issuing a policy and determining rates, so any credit blips could have a big impact on your costs.  

"It's well worth your time to check your credit score and your credit report because errors happen more often than you think, and you should try to correct them," says DeLong. "If you spot any errors, reach out to your auto insurance company and ask them to recalculate your premium and focus on improving your credit score to lower your costs, because this can actually save you quite a bit of money on auto insurance."

So, it makes sense to keep an eye on your credit. Your payment history and amount owed have the most significant impact on your credit score, so paying your bills on time and keeping your credit card balances relatively low can help. And, if you do find errors on your credit reports, be sure to contact each credit bureau to start the dispute process. 

Get multiple quotes

Whether you have liability or full coverage car insurance, it's a good idea to shop for your policy. While car insurance prices have gone up across the board, it's still a competitive market. 

That means you may be able to score a better price somewhere else, so do your research and compare your options. Start by checking for discounts and getting several car insurance quotes. Before making a switch, though, take a look at the financial strength of the company. 

"You want to make sure the company is very financially stable, that it has a strong track record for paying claims," says Friedlander.

The bottom line 

If you want to lower your auto insurance costs, you don't necessarily want to cut down on the coverage. Though each state has its own minimum liability coverage levels, Friedlander recommends getting more than just the minimum. However, he acknowledges that many consumers are having to make tough decisions in today's economic landscape.

"Do you put food on the table or just spend more for insurance?" says Friedlander. "Obviously if you're on a tight family budget…at least carry the state minimum so you're not violating the law."

Start by getting the minimum coverage and understanding which other coverage options are necessary or most important to you. Use these tips as a guide to help lower costs and continue to shop around regularly.