RATES TAKE A DIVE.

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Author: Gimbel, Barney

MONEY

The words "good news" and "car insurance" almost never end up in the same sentence--until now. State Farm, USAA and Farmers Insurance Group are cutting prices by up to 10 percent for good drivers, and other companies are following suit. This means it's worth rethinking your coverage.

Cast a wide net. Get quotes from at least four different carriers. Try Web sites like insweb.com and insure.com that give instant quotes from dozens of providers.

You don't need it all. For cars worth less than $5,000, the extra premiums for comprehensive and collision will often exceed the potential payout. (Try kbb.com to find out your car's value.)

Check rates before you buy. Consider the coverage costs for different models before buying a new car. Often it can make or break your budget.

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By Barney Gimbel