uterti-com

Just another WordPress site

Auto Insurance Quotes: Why Do They Vary So Much From Driver To Driver?

You’ve probably noticed that some drivers pay more than others even if they drive the same model and year of car. Most likely, he has noticed that younger people pay higher premiums than older ones, men than women.

Insurance companies look at a lot of statistics, then they look at which statistics apply to which driver. Basically, they’re looking to see which group, statistically, is most likely to make a claim, which is second, third, and so on.

They have noticed that men tend to have more traffic accidents than women. That younger people, especially those under 25, tend to have more accidents than older people. Single drivers tend to be more reckless than married drivers. People who have bent or broken the law once can do it again more often than those who have never done it and end up in an accident. People who drive more tend to have more accidents than those who drive less.

Then they look at the type of car you drive. There is a combination of statistics and other factors here. Statistically, smaller cars tend to cost insurers more than larger cars (they just aren’t as safe, in part because there are bigger cars). Some cars tend to cost you more because parts are expensive, older cars cost less. Some cars are stolen more often than others. Cars in some neighborhoods are more likely to be stolen or vandalized.

When they’re done looking at all that stuff, they have a basis for judging how much to charge you. Basically, they guess how much they will have to pay next year for the entire group they belong to, add their other costs, the profits they want to make, and then figure out how much they should charge each individual. in your group so they get all their payments, costs, and profits.

Some things you don’t control (you can’t just become a middle-aged woman just to get a lower premium and you can’t stop people with all the vandalism and car theft). However, many of the things they use to calculate how much premium to charge you are under their control. You control:

the car you are going to buy

if you have anti-theft devices installed

whether you drive drunk or not

whether you make small claims or not

and, to some extent at least, the neighborhood you live in

and the deductible you are going to pay.

So the next time you’re looking for auto insurance quotes, do your research. Until then, don’t do any of the things that make you perceived as high risk. And, of course, accept that you don’t control the things you don’t control.

Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *