Whether you’ve been driving for one year or twenty years, it’s
important to understand which factors affect your auto insurance rates.
After all, the better you understand how auto insurance works, the better
position you’ll be in to monitor your driving habits and make good
choices – choices that will help lower your insurance premiums.
If you’re like most drivers in West Palm Beach, you know a thing
or two about auto insurance. You know that driving under the influence
(DUI) convictions can cause your auto insurance premiums to skyrocket.
You also know that a speeding ticket will also drive your rates up.
But beyond the obvious (DUI and speeding tickets), you may not know much
else about auto insurance rates and what factors influence them, and believe us,
there are other factors that determine how much you pay in auto insurance.
According to the
Insurance Information Institute, the following factors determine the price of an auto insurance policy:
Your driving record: If you have a clean driving record, your premium would be lower than if
you had serious traffic violations or
car accidents on your record.
The number of miles you drive: The more miles you drive each year, the higher the chance of you being
in an accident.
Where you live: Because urban areas have a higher rate of thefts and vandalisms, urban
residents will pay higher premiums than people who live in small towns
or rural areas.
Where you park your car: If you park your car on the street as opposed to an enclosed garage,
you could pay higher premiums.
Your age: As a general rule, the older you are, the less likely you are to get into
an accident because of experience behind the wheel. So, younger drivers
pay higher premiums than mature drivers.
Your gender: Not surprisingly, women have fewer accidents and DUIs than men, so they
pay less in auto insurance. Teenage girls also pay less than their male
counterparts, unless they have serious moving violations.
The type of car you drive: If your car is expensive to repair, if it has a poor safety record, or
if it costs a lot to replace, it can add to the cost of insuring it.
Your FICO score: People with poorer credit scores can pay higher premiums.
Were you recently in a car accident in West Palm Beach that was not your
fault? To ensure the claims process goes smoothly and your auto insurance
rates are not wrongfully affected,
contact the Law Offices of Craig Goldenfarb today.