It is a mystery for some motorists, what the factors are that make their car insurance rates expensive. Few motorists may know some factors or even all the factors that affect their car insurance rates, but they may not know or understand how these factors make their car insurance expensive. And so on this article, some factors that affect the rates of car insurance will be discussed. It will explain how they affect how expensive or how cheap car insurance rate will be.
Factors like driver’s or motorist’s age, driving history of the driver, and the type of vehicle or car the motorist has, are some of the many factors that affect a driver’s or motorist’s car insurance rate.
Driver’s Age is a major factor that affects the price of car insurance. Why? Because companies that offer car insurance policies have a belief that there is a certain age where in a motorist or a driver can be a good risk driver or a bad risk driver.
A good risk driver is a driver that is considered to get involved only in a few or minimal accidents, or even none at all. While a bad risk driver is one who is considered by car insurance companies to be more likely to be an accident magnet.
Being a good risk driver and a bad risk driver is associated in one’s age. For example ages 16 years old to 23 years old, typically students and teens, are considered bad risks for they are still young and considered not yet responsible due to lack of maturity. Also ages 60 years old and above are also considered bad risk because they maybe that matured enough, but their senses and reflexes have already deteriorated. And thus the age group of 40 years old to 50 years old is considered the good risk drivers, for they are matured and still physically able.
The next factor considered by car insurance companies that if understood properly, may result in cheap auto insurance is the Driving History. The driving history affects rates of car insurance because of the simple fact that people who most likely do things most of the time may most likely be the one who will repeat that same thing over and over again.
The same goes with driving history, if a driver’s driving history shows that he/she has a lot of traffic tickets and other traffic violations and accidents he/she may most likely do it again. So he/she is a bad risk driver.
The last factor that may help avoid an expensive car insurance rate if understood carefully properly is the Driver’s Vehicle. The driver’s vehicle, meaning the type of car the motorists will insure, is a factor that gives an increase or decrease on the rates of car insurance because cars also are considered prone to theft according to the group or type they are in.
Thus the simple tip when it comes to vehicle type is to avoid fast, expensive cars, and luxury cars for they make auto insurance rates high. While minivans or vehicles that are now so easy to maneuver and not so fast are good cars that make rates lower.
It is only a simple task to have cheap car insurance. It is just how you understand and maximize to your advantage the factors that are making your car insurance rate low.
