What Effects My Car Insurance Rate?

Age and Gender

It comes as no surprise that young men are some of the most expensive drivers to insure. Young men have more accidents and fatalities than their female counterparts. But fortunately as men get older and demonstrate a record of safe driving, their rates will decrease. Women usually get better rates than men and older drivers with a safe driving record get the best rates.

Marriage

Drivers that are married tend to have less accidents and claims than those that are single. So if you get married your rates could decrease depending on your previous driving history.

Location

As you have probably heard, most accidents occur near your home so as a result the location of your home will affect your rates. Things like accident rates and theft rates can raise your premiums. Also the price to fix your car can be more expensive in some areas. A big factor is the amount of uninsured drivers in your town or state.

Car Type

Some cars are more expensive than others and some have a higher trend of accidents. Others have great safety features that minimize chance of serious injury. Some cars are more likely to be stolen and some are more likely to break down due to age. All of these are important in determining the cost of your premium and there’s no good way to isolate any one factor. A newer car that looks great and goes fast is going to cost more to insure than a slightly older model that was built for safety and functionality.

Driving Record

Things like accidents, speeding tickets, traffic violations and DUIs will cause your rates to climb. Due to your history, the insurance company thinks your more likely to repeat your previous infractions and you are more expensive than someone who has never made a claim or had anything added to their record. If your driving history has too many blemishes, insurance companies may refuse to cover you at all.

Driving Activity

If you use your car daily as part of your business or put lots of miles on the odometer as part of your commute, the chances of you being in an accident increase and the chances of you filing a claim also increase. Insurance companies will often charge higher premiums to reflect this even if you’ve never been in an accident, are a safe driver and have never made any claims. The reverse of that is if you don’t use your car very often, insurance companies may offer discounts since the chance of you having something to your car is far less.