The Top 4 Things That Affect Auto Insurance Rates
If you're in the market for new car insurance
, first of all, make sure you don't settle for the first quote you receive. Shop around for the best quote. Auto insurance companies vary slightly with one another with their methods of providing quotes. But they are very similar when it comes to the major deciding factors. All companies place the most weight of your premium quote upon the following four categories in which you fall under:Demographic Location: Each major auto insurance provider has a group of statistics on every demographic area in the United States from average household income to crime statistics to the number of claims filed. And they rate each demographic with a certain risk factor. Those applicants living in an area where a large number of claims are filed to the insurance company will expect to pay larger amounts for their car insurance premiums.
Type of Vehicle: Each vehicle is categorized by year, make, model, accessories and, in some cases, any personal modifications done to the vehicle such as suspension kits. Every car has a history of statistics telling the auto insurance company what the liability for insuring that car will be. Choosing wisely and driving a mini-van as opposed to an attractive Chevy Camaro will decrease your premiums. There are statistics on cheap cars to insure made available by your insurance agency.
Driving Record: If you get any negative points on your record with the Department of Motor Vehicles, this will increase your premium quote price. A good tactic to take is to, number one, always drive according to the rule of the road and, number two, take driver's safety courses which earn you credit towards your driving record.
Age and Gender: The statistics don't lie. Large numbers of teenage drivers get into car accidents. And males are more likely to get into an accident than females. The Center for Disease Control and Prevention has all of the statistics on these. If you are a teen, and a male, you already have a disadvantage compared to a fifty-plus-year-old female.
Taking all these major factors into account and inputting them into the auto insurance company's quotation formula, they can offer their version of a reasonable quote to you as an applicant. Of course there are other factors that will help or hinder your quotation results, but each company has their differences. The best way to insure you're getting the best price on car insurance is to shop around.
by: Joel Paschall How Auto Glass Services Play A Vital Role For Your Vehicle? Guaranteed Auto Loan - Ways To Get Approved Tasks To Complete That Will Lead You Directly To Dependable Auto Shippers The Old Hand's Extensive Reference Pro Visitors Aspiring To Leave For A Caribbean Tour Extraordinary Auto Repair Services Whenever You Buy Revitol, Scar Tissue Elimination Is Assured! Get a FREE $1,000 Toys R Us Gift Card Just for Taking a Few Surveys! Is The Hybrid Car For You? Keep Cosy in Spring with Men's Cardigans Tour Croatia By Car by:Aidan Fitzgerald Learn Who is the Best Auto Insurance Company? - How to Find the Best Affordable Car Insurance Company Your Second-hand Automobile - Finding The Right Buyer Auto Insurance Colorado Springs Is A Must