Four Factors that Increase Auto Insurance

Car insurance is usually a requirement, but how much you have to pay for it isn’t. There are four large factors that determine the costs of your auto insurance.

Demographics
Unfortunately, there isn’t much that can be done to change this one. The statisticians behind auto insurance data came to the conclusion that males below age 25 have more auto accidents than their distaff counterpart. You’ll pay more for your car insurance if you’re a young man.

Those who are married pay less for their auto insurance. Often, husbands and wives see a lower insurance rate. In general, married men have fewer accidents than unmarried men, even in the same age brackets.

Passing a driver’s safety course can also help you save money. Your driving record, however, affects insurance rates above all else. Any past vehicle accident in the previous few years means a higher insurance rate. Carelessness can eventually lead to your policies being canceled.

The last part of your personal demographics: How often you drive per week. If possible, carpool from time to time, or use mass transit systems to get to work or go home. Not only is this saving you gas money, but it also prevents your car from being worn down so much.

The Neighborhood You Live In
Urbanites have higher auto insurance rates than their rural or suburban associates. This is mainly because of more traffic in city areas, leading to an increase in auto accidents. Auto theft is also more likely to happen in a city.

The Car You Drive
A car that’s often targeted by auto theft carries a heftier auto insurance rate. Any car that’s costly to repair also means higher insurance rates.

New cars are probably going to have you paying more. This rate can be lowered, assuming the car has specific features in safety. Check if your vehicle has airbags, anti-lock brakes, and safety belts that are automatic. Locks for the steering wheel or other anti-theft contraption is highly useful, especially if you live in a city.

The Policy You Hold
What coverage you have in your policy affects how much you have to pay for your car insurance. Consider hiking up your deductible, which is really important if you drive an old model.

The overall value of the car should determine if you should or shouldn’t’ pay a high monthly premium. There really isn’t much purpose in a large premium if you’re undecided on giving an old car repairs from an accident. Think about dropping a few coverages that you are unlikely to use, such as medical or roadside assistance. If you’re already insured medically, for example, then there’s no point paying for it twice.

Take these factors and, if you can, save money on auto insurance. Just using these four tips can greatly affect your monthly budget.