|What affects the
price of Auto Insurance?
The cost of car insurance varies by insurance company and by:
What you buy
How many coverage's you buy
What kind of car you drive
If you are buying or selling a car, you will need to re-evaluate
your auto insurance needs.
Generally, the more expensive the car, the more you pay.
Where you drive
Generally, due to higher rates of vandalism, theft, and accidents,
urban drivers pay more for auto insurance than those in small
towns or rural areas.
How much you drive
People who use their car for business and long-distance commuting
normally pay more than those who drive less.
Your age, sex and marital status
Accident rates are higher for all drivers under age 25, especially
young males and single males. Insurance prices in most states
reflect these differences.
Your driving record
Drivers who cause accidents generally must pay more than those
who are accident-free for several years.
Your credit history
Studies have shown that credit history is a powerful predictor
of future auto insurance losses. Many insurance companies consider
certain credit characteristics in addition to many other factors
when determining an individual's rate.
What can I do to save money on my auto
If you're shopping for a car, consider how your choice will affect
Some insurers increase premiums for cars more susceptible to damage
or occupant injury, and lower rates for those that fare better
than the norm.
Ask about discounts for good students, insuring more than one
vehicle, accident-free driving, and others.
Consider joining a car pool, or finding other transportation to
work. If you reduce your driving mileage enough, you may lower