Prior to shopping around for auto insurance quotes, it’s important to understand what factors affect your
premiums. This will help you understand why your premiums look a certain way. Common factors
affecting insurance rates include
Certain vehicles are considered safer to insure than others. Factors that go into determining this can be vehicle safety rating, vehicle value, and theft and/or claims frequency.
Most traffic accidents occur close to home, so if you live in a densely populated area with high traffic, you may have a higher rate.
Young drivers (teenagers through young adults aged 25) don’t need to do anything wrong to be considered higher risk. As a result of them being newer drivers, thus more likely to be involved in claims, they are generally higher to insure compared to the experienced driver.
This one is pretty straightforward: if you engage in risky driving behaviors (traffic violations, at-fault accidents, DUIs, etc.) you’re going to have higher premiums because insurance companies will consider you riskier to insure
Drivers Auto Insurance Experience
Your insurance experience is like your credit score. The longer history you have, the easier it is for your insurance company to assess how risky you are. People with many years of claims free insurance experience are rewarded with preferred rates.