You may be the world’s safest driver, yet your car insurance premium rates are higher due to factors you can’t control. Is this fair? No, but it’s reality that most insurance companies use various parameters to set their rates for auto insurance.
Understanding each factor that determines coverage rates in Connecticut and elsewhere can give you a leg up when it comes to finding the best policy.
Marital status, age and gender
Rates reflect the fact that older drivers typically are involved in fewer accidents. Women also have fewer accidents, and their rates reflect it. Statistics show that single people are more likely than married individuals to be in a wreck, so singletons pay more.
Location and driving consistency
The area where you live determines in part your car insurance premium rates. Higher rates of property crimes can increase your rates. Of course, your rates also will be higher if you routinely drive long distances.
Credit score
Studies show credit scores to be useful in determining the chances of insurance claims. Payment history, bankruptcies and debt levels all play a part in insurance rate calculations.
Driving record
Speeding tickets, DUIs and accidents all raise your coverage rates. Locals of Norwich, and drivers throughout the entire state of Connecticut, should note that all information related to a DUI stays on your record for a decade, and your insurance company may check your record at any time. Experts note that your rates likely will increase by 20 to 60 percent after a DUI, or your policy may be canceled.
Type of car
The value of your car and its safety record also helps determine your rates. Knowing the deciding factors that go into setting car insurance premium rates, and working to control what you can, will save you money in the long run. Whether that’s driving a less-expensive vehicle, reducing your speed or moving to a lower-crime area, the savings add up.
Are you unsure as to how your driving record or any of these factors will impact your insurance premium? Let Waitte’s Insurance Agency calculate an insurance rate that is best suited for you. For a free rate quote, Click Here!