No-fault auto insurance was developed as a means to ease the steady rise in accident-related costs that affect both consumers and the insurance industry alike. A new study is finding that, ironically, the very opposite effect seems to be occurring due to the way no-fault auto insurance is structured. In no-fault auto insurance, the holder of the policy seeks payment for auto repairs -- and related medical costs -- from his own auto insurance company should he have an accident. When no-fault auto insurance first came on the scene, medical costs were not seen as a complicating issue that could drive up the total cost of the coverage, but nothing could have been further from the truth.

The Web journal Insurance and Financial Advisor reports that:

Injury costs under no-fault were only 12% higher in 1987 relative to tort-based insurance. But in 2004, medical costs were 73% more expensive under no-fault plans, according to RAND Corp., a nonprofit research organization.

By Zach J. Weber, Seed.com Contributor

As someone who has seven years of experience in the auto industry, I can tell you that there are many simple ways to find cheap, yet good, auto insurance and ensure that once you have an auto insurance policy that suits your needs that your rates remain low. The first step is to get good auto insurance quotes.

The best way to find competitive auto insurance quotes is via the Internet. Many of the largest companies now allow you to actually compare prices amongst several carriers. Also, by doing a quick Web search for independent auto insurance agencies in your city or town, this will empower you to then discuss with those particular agents the most competitive deal they can develop for you.

Specific Internet sites, though not a comprehensive list, that allow you to find and compare auto insurance rates are:

•www.insurance.com/
•www.onlineautoinsurance.com/
•www.progressive.com
•www.esurance.com

Use these sites to find the best auto insurance quotes for your needs.

Texting while driving is very tempting, but can have many negative effects that far outweigh the gratification of communication. It was reported today that police in the New York City area will begin cracking down on reckless cell phone use, which will include issuing tickets for even holding a cell phone while driving. Many regions are following suit in 2010, as new states are joining the those that have already banned cell phone use while driving.

Why all the fuss over texting while driving? And how can this affect your car insurance premiums? A leading insurance expert relates:

"Engaging in distracting behavior like texting while driving, which takes the driver's hands off of the steering wheel, is extremely risky and can increase the likelihood of accidents," said Sam Belden, vice president at insurance.com. "Even minor accidents can cause injuries and steep insurance rate hikes." (CarInsurance.com)

The fact is that driving while texting makes you 23 more times as likely to have a car accident. Possible accidents are of course personally distressing enough to deter texting, but another thing to think about is the steep increase in insurance rates stemming from even a minor fender bender. If you are in an accident caused by texting this may lead to "insurance rate hikes between 10-50 percent" according to CarInsurance.com. In addition, now that so many states will be enforcing laws that ban cell phone use while driving, texting will be yet another avenue to accumulate tickets, which will impact how much you pay for car insurance.

Texting while driving is a no win situation. It's dangerous, can ruin your driving record and cost you more money in auto insurance. Do yourself and your wallet a favor, and put your cell phone away while your drive.

The Auto insurance industry is getting creative about offering consumers new ways to save. If you are looking to cut costs on auto insurance, you may want to consider a pay-as-you-go plan. If you opt for a pay-as-you go auto insurance policy, your driving would be monitored closely by a device in your car installed by the insurance company.

Yes, your auto insurance company would catch you speeding, and would know the hours and distances of your driving. Not too good if you are planning to have an affair! But if you can stomach the idea of being constantly watched via your driving, the significant auto insurance savings will be worth it.

As reported on AOL Autos:

"You'll, in effect trade a degree of privacy for a lower rate" in such a pay-as-you-drive policy, explains Mike Barry, vice president of media relations for the Insurance Information Institute. "They know not only how many miles you drive but how and when you drive."

Many working on health care reform are debating whether to restructure health insurance along the same lines of the auto insurance industry. As all drivers with auto insurance know, your premium is based on your driving record. Plus there are active steps you can take to reduce your insurance premium, such as taking classes in drivers' education. People on the Hill want to add a similar elements to the health care bill.

It is a benefit to the auto insurance customer that the system is designed to give good drivers control over what they pay, and there is an incentive to be a better driver. Thus, it makes a lot of sense that law makers revamping health care are looking to it as a model for a more equitable and efficient system.

The health care reform bill could soon move in this direction. But right now, people who don't smoke while doing other things to maintain their health pay the same amount for insurance as persons (at the same employer) who do nothing to stay healthy, or worse, engage in health-damaging behaviors. And of course, people who are actually sick are getting more value out of paying the same premium as someone who is healthy. What some experts are recommending is that, just like auto insurance, health care be based on your health record, and what you do to maintain your health.

CNN Money has some great advice on how to save cash on car insurance now. These are great articles to review, if you are looking for a way to slim down your monthly bills in this economic environment. While the whole series is worth a look, some of the best suggestions are:

1. Demand discounts, which are often available if you ask your insurer.

2. Complete a defensive driving course, which may qualify you for lower rates.

3. Look into increasing your deductible, while not filing for small-scale damages. Given the average rate of filings for small vs. bigger claims, you might come out on top financially by paying for small fixes yourself, ignoring cosmetic damage and raising your deductible -- all of which can lower your premium. It can be much more expensive, conversely, to pay a higher premium over time.

For more great advice on getting the best car insurance bang for your buck, be sure to explore all the areas of CNN Money's car insurance area.

Auto InsuranceWe are all trying to save money these days, leading us to look for new ways to cut corners. If you are thinking of buying a new car, you are probably already keeping in mind the costs that go along with the vehicle. BV brings you our round up of the most expensive vs. the cheapest cars to inure to help you make your decision. Read through the gallery below to get our advice, and then leave more helpful tips about shaving down car costs. Does the cost of insurance play a big role in your choice of vehicle?

+Gallery Content Provided by WalletPop