| Many factors affect the premium you will pay for auto | | | | a higher risk for accidents and will likely mean a higher |
| insurance. Each is a statistically based risk for a | | | | premium. Some insurance companies will penalize you |
| specific population. The higher the risk associated with | | | | for your record for as many as five years from when |
| a person, the more he or she is likely to pay for | | | | the incident occurred. However, keep in mind, as your |
| coverage. We have elaborated on some of the risk | | | | record improves, your premium will get lower. |
| factors below, but there are numerous others, including | | | | Vehicle Type |
| driver's gender, miles driven per year, purpose for using | | | | El cheapo car will cost less to insure than that status |
| the vehicle (commuting to work, using for work, leisure | | | | symbol SUV sitting on 24" rims baby. |
| only), etc. | | | | Accident Claims |
| Factors you CANNOT easily change that affect your | | | | A driving record that is clean and free of accidents will |
| car insurance rates: | | | | hold fare better for you than lots of tickets and/or |
| Age | | | | accidents. |
| Statistically, drivers under the age of 25 are at greater | | | | Credit Rating |
| risk of being in an accident than those over age 25. | | | | Many insurance companies view having a poor, or |
| Drivers between the ages of 50 and 65 generally | | | | even no credit history as suggestive of higher risk and |
| have the safest records. | | | | thus, charge you a higher premium. |
| Gender | | | | Occupation |
| Women are statistically safer drivers. | | | | Insurers have statistically found a correlation between |
| Marital Status | | | | your occupation and risk. For instance, a newspaper |
| A married person will pay less than a single person | | | | delivery person is most likely a higher risk than the |
| with an identical driving record. Factors you CAN | | | | personal banker sitting at their desk all day. |
| change that affect your car insurance rates | | | | Other factors that help determine premiums: |
| Geography | | | | . Driving distance to work |
| Where you live makes a difference. Folks living in | | | | . Miles driven each year |
| areas with little or no traffic are likely to spend less on | | | | . Years of driving experience |
| insurance than those living in congested cities or | | | | . Business use of the vehicle |
| suburbs because areas with a lot of traffic tend to | | | | . Whether or not you currently have auto insurance |
| see more accidents. Some neighborhoods also have a | | | | . Theft protection devices (often results in discounts) |
| higher rate of vehicle thefts, which can result in a | | | | . Multiple cars and drivers (another opportunity for |
| higher premium. | | | | discounts) |
| Driving Violations | | | | What can I do right now to make sure I have the |
| Having an accident or moving violations on your record | | | | lowest premium? |
| (speeding tickets, DWI, reckless driving, etc.) put you at | | | | |