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Cheap Car Insurance: Factors that Affect Your Car Insurance Rates
When it comes to auto insurance rates, who you are determineswhat you pay. Automobile insurance premiums are based on a largenumber of factors, some of which you can control, and some ofwhich, alas, are incontrovertible facts of life. Statistically,a sixteen-year old boy with a 300 horsepower sports car in a bigcity is far more likely to hit something than a 35 year-oldmarried guy driving a minivan around the suburbs.While you can't change your age and some other factors, thereare things that you can do to keep insurance premiums as low aspossible. Factors you CAN'T change that impact your auto insurancerates: Your age Dick Clark and Sophia Loren notwithstanding, aging isunavoidable. And while you may be a mature-looking teen or ayouthful octogenarian, the oldest and the youngest drivers arefar more likely to have accidents. Gender Whether it's the mothering instinct or fewer NASCAR fantasies,women statistically make safer drivers. Marital Status Ok, you can change this, but there have been no reports ofpeople marrying simply to lower their insurance rates. Factors you CAN change that impact your auto insurance rates:GeographyWhere you live matters.For instance, those living in ruralAmerica are far less likely to have a collision or a stolen carthan those living in a city. But, sometimes even just movingacross the street can change your rate. Driving violations Speeding tickets, running red lights, failure to yield, etc. allcount toward your auto insurance rate. Your vehicleIf you must have that cherry red Corvette or the FerrariTestarossa, be prepared to pay for it. Your insurance premiumswill be higher. Accident claims While you can't change the past, keeping your slate clean andfree of accidents will hold you in better stead than lots offender benders. Credit ratingThat's right -- many insurance companies view having a poor, oreven no credit history as suggestive of higher risk. Occupation A little easier said than done. Believe it ornot, insurers have found correlation between your occupation andrisk. Makes sense that the pizza delivery guy could be a higherrisk! Other factors that go into determining premiums: Miles driven per yearDistance to work Occupation Years of driving experience Business use of the vehicle Whether or not you currently have auto insurance Theft protection devices (often results in discounts) Multiplecars and drivers (another opportunity for discounts) Overwhelmed?It can be more than a bit confusing when trying to decide thebest and most affordable coverage for your vehicle. Likeanything else, get good advice and comparison shop. With the Webat your fingers, you have all the information and power to getthe best deal.Please note that this description/explanation is intended onlyas a guideline. For more information about auto insurance please go to: Insurance.com
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