What Can Impact My Insurance Rates?

At some point in your lifetime, you have heard the various reasons your car insurance can go up or down in price. From the 16-year-old male driver to the bright red sports car.

Guess what? There is a lot truth to this. Here is why!


AGE: As it is with anything, the more experience you have the better you get at something. Younger, more inexperienced drivers are more likely to have an accident than older drivers. Therefore, insurance companies generally will charge higher rates for drivers below the age of 25.

GENDER: Insurers can charge different rates for female and male drivers, in most states. Often, men are charged higher rates, especially when they are young. See… WOMAN ARE BETTER DRIVERS! Just kidding, I think this is still up for debate because rates for woman increase as they get older.

EDUCATION: Studies have shown that insureds with higher education tend to file less claims. However, some states have moved away from using education levels in their price determinations, although some companies will provide a discount.

ADDRESS: Rates vary from state to state. If you live in a more rural area, the chances of accidents are less than those who live in cities where they are more at risk of vandalism, theft and crashes.

CREDIT HISTORY: Are you paying your bills on time? Companies will take your credit score into consideration. History has shown us that those with a poor credit score tend to file more claims than those with a good credit score.

HOMEOWNERSHIP: BUNDLE, BUNDLE, BUNDLE. When you own a home OR you rent, you can bundle your home/renters and auto insurance to get a bundling discount.

HOW OFTEN YOU DRIVE: The less you drive the lower your insurance. When you are not driving your car as much there is less opportunity for there to be an accident.

WHERE YOU PARK YOUR CAR: Keeping your car parked in a garage provides more protection from fallen trees, vandalism and theft.

DRIVING HISTORY: The more claims you file the higher your insurance is going to be, not to mention, you could also be at risk of your insurance carrier dropping you altogether.

Okay, so the list can go on. Trust me. Everyone has something that can affect their insurance, good and bad! A lot can change in a year or two, claims drop off...credit history can change... maybe you got married? Bought a house? If you have experienced some positive life changes, give us a call!