Chris O'Shea
Many things go into a car insurance rate. Your driving record is certainly one of the factors used, but others can raise or lower premiums. Here’s a breakdown.
What Factors Increase Car Insurance Rates
- Driving History. If you’ve been in accidents, had speeding tickets, or had any other traffic-related incidents, this could boost your rate.
- Age. Younger drivers and older drivers pay more for insurance. If you’re younger than 25 or older than 70, you’ll likely pay more.
- Location. If you live in an area with lots of accidents, you’ll pay more. Areas with high rates of accidents, theft, or vandalism can result in higher premiums.
- Type of Vehicle. Sports cars, motorcycles, and other types of vehicles can have higher premiums.
- Credit Score. Yes, a low credit score can result in you being deemed a risk, thus, your rates may be higher.
What Factors May Decrease Car Insurance
- Driving History. If you have a clean driving record, you’ll likely get a lower rate.
- Age. When you hit that sweet spot of between 25 and 70, you will likely see your rates go down
- Comparing Quotes. You can shop around for car insurance so that you get the best rate available.
- Safe Cars. Cars that have a good safety record may get you a lower car insurance rate.
Do One Thing: Shop around for car insurance so that you’re getting the best deal available.
