Several factors are taken into account when it comes to car insurance quotations. Though it may looked random, but the truth is a few factors are taken into consideration.
While there are some factors you can change, others are really out of your hands. Here are a few of the factors that go into the calculation of car insurance quotes:
Your Age
Statistically, young and inexperienced drivers have higher accidents rates. So that a teenager who just got his license will usually pay more insurance than those who are older and considered more experienced in driving a car.
Vehicle Used
Annual mileage is a factor here, as are daily commute mileage and whether your car is used for business purposes.
Obviously, the person with fewer miles fewer days of the week will be less likely to have an accident than a driver who drives more miles, more often. Generally the less you use your car the lower your car insurance quotation will be.
Type of Car you Drive
The average cost of repairs for your car model, including its safety statistics are taken into account when it comes to car and insurance . An expensive import car will cost more to insure than a crossover or minivan.
Driving Record
If you have a better driving records you will surely pay less for car insurance than people with many tickets on their records. In other words, those with more moving violations will pay more for their car insurance quotations.
Where You Live
Insurance companies want to know where you live: what kind of neighborhood it is, how densely populated it is, and how busy the streets are. If you live in a city your Car Insurance Quotations will probably be higher than if you live in a rural area.
History of Your Credit
You may not believe it, but your credit history is truly taken into account when it comes to figuring car insurance quotations. If you have a good credit history, you may pay less for your car insurance than those with bad credit scores.
It is very important to know that each providers can give different quotations for your car insurance, so you better get at least five quotes before choosing any of them.
While there are some factors you can change, others are really out of your hands. Here are a few of the factors that go into the calculation of car insurance quotes:
Your Age
Statistically, young and inexperienced drivers have higher accidents rates. So that a teenager who just got his license will usually pay more insurance than those who are older and considered more experienced in driving a car.
Vehicle Used
Annual mileage is a factor here, as are daily commute mileage and whether your car is used for business purposes.
Obviously, the person with fewer miles fewer days of the week will be less likely to have an accident than a driver who drives more miles, more often. Generally the less you use your car the lower your car insurance quotation will be.
Type of Car you Drive
The average cost of repairs for your car model, including its safety statistics are taken into account when it comes to car and insurance . An expensive import car will cost more to insure than a crossover or minivan.
Driving Record
If you have a better driving records you will surely pay less for car insurance than people with many tickets on their records. In other words, those with more moving violations will pay more for their car insurance quotations.
Where You Live
Insurance companies want to know where you live: what kind of neighborhood it is, how densely populated it is, and how busy the streets are. If you live in a city your Car Insurance Quotations will probably be higher than if you live in a rural area.
History of Your Credit
You may not believe it, but your credit history is truly taken into account when it comes to figuring car insurance quotations. If you have a good credit history, you may pay less for your car insurance than those with bad credit scores.
It is very important to know that each providers can give different quotations for your car insurance, so you better get at least five quotes before choosing any of them.
About the Author:
Anne Durrell comes from Lodi, CA. She writes quite a few articles on auto insurance. Here are some other of her articles you may be interested in reading: auto insurance ratings guide and car and insurance tips!
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