California motorists have reason to rejoice these days.  

A new state regulation, passed in August, will result in auto insurance premium reductions of up to 50 per cent in some cases.  

Ontario motorists aren't likely to get any similar price decreases in the foreseeable future, but that's not to say that motorists can't find creative ways to lower their insurance premiums to ease the financial burden of driving.  

Insurers typically look at two areas when determining insurance premiums: type of vehicle and type of driver. A high-performance sports car or a luxury sedan with all the bells and whistles will cost more to insure than a modest, entry-level sedan.  

Research the insurance costs on the next vehicle you want to buy. It's essential that you understand these costs before you make any deal.

Insurers also look at a vehicle's susceptibility to theft. Certain cars and nameplates are more attractive to thieves, which affects insurance costs.  

Some vehicles are more expensive to repair than others. Be aware of this before you buy or lease.  

Driver characteristics are just as important as vehicle characteristics. Where you work, how many kilometres you drive and how you use your auto are important indicators.  

If the daily distance you travel to work changes, notify your insurance company. Likewise, a change in home address could affect policy rates.  

Some insurance firms give discounts to those who drive less than a pre-determined number of kilometres each year.  

Employers, professional associations and alumni groups sometimes offer auto insurance reductions. You could be eligible for significant discounts that you aren't even aware of.  

I know someone who insured a luxury car and mistakenly informed her broker that it was a two-door model, when in fact it was a four-door.  

This casual oversight resulted in a $24-a-month higher premium. The customer paid this extra amount ?a non-refundable $864 over three years ?before she realized her error.  

Selecting the right insurance firm can affect your premiums as well.  

Find out if you're dealing with a "captive" agent who represents a single insurer or an "independent" who represents several.  

To reduce your premium, consider raising the deductible on your policy's collision and comprehensive section. The deductible is the amount you pay an insurance company when you make a claim.  

Consider dropping comprehensive and collision insurance coverage altogether on older vehicles.

Keep a good driving record. If you're prone to receiving speeding tickets and other traffic violations, your insurance rates will rise.

Check for discounts. Your insurance agent should be able to find out if you are eligible for discounts based on your age, driving record or multi-policy considerations (i.e., if your home and auto are covered by the same firm).

Ontario drivers aren't going to see huge reductions in insurance costs through government intervention. But with some simple planning, research and diligence, they may be able to cut premiums themselves.