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:
Age
Older people will pay lower rate than teenagers who just earned their licenses. This was figured as young drivers have higher rates of car accidents.
Vehicle Used
One thing that becomes an important factor is your annual mileage, whether your car is used for daily commute or 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.
The Type of Your Car
When figuring out car and insurance , its safety statistics are important, and the average cost of repairs for your make and model figure in as well. An expensive minivan or crossover vehicle will cost less to insure than an expensive import or sports car.
The Record of Your Driving
People with accidents records will pay more for car insurance than those with better driving records. In other words, you will pay more for your car insurance quotations if your driving violations is high.
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.
Your Credit History
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 also important to note that Car Insurance Quotations can vary widely between providers, so you are wise to get four or five quotes before choosing one 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:
Age
Older people will pay lower rate than teenagers who just earned their licenses. This was figured as young drivers have higher rates of car accidents.
Vehicle Used
One thing that becomes an important factor is your annual mileage, whether your car is used for daily commute or 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.
The Type of Your Car
When figuring out car and insurance , its safety statistics are important, and the average cost of repairs for your make and model figure in as well. An expensive minivan or crossover vehicle will cost less to insure than an expensive import or sports car.
The Record of Your Driving
People with accidents records will pay more for car insurance than those with better driving records. In other words, you will pay more for your car insurance quotations if your driving violations is high.
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.
Your Credit History
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 also important to note that Car Insurance Quotations can vary widely between providers, so you are wise to get four or five quotes before choosing one of them.
About the Author:
Anne Durrell comes from California. She writes many articles on car insurance. Here are some other of her articles you may be interested in reading: car insurance quotations guide and car insurance calculator tips!
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