3 Factors that Affect Your Car Insurance Rate


In states like California, by law, you cannot drive your car without first obtaining car insurance. Therefore, you must factor in this expense if you want to become a legal driver in the corresponding states. If you shop around, chances are great that you will find a reasonable car insurance plan that you can afford and maintain for as long you plan to drive a vehicle. Gathering car insurance California quotes is as easy as visiting the various insurance websites and punching in the corresponding information, or you can always consult with an insurance agent in person.

As you gather these quotes, here are three factors that will affect the car insurance rates you receive.

The Vehicle

Insurers take into consideration the type of car you drive. If your car model has a history of accidents and high claims, it will be more costly to insure. It’s not necessarily the car that is faulty, but if individuals who drive that specific model get into more accidents then, it’s considered a risk. Insurers are also going to take into consideration how often you will be driving that car and whether you will be driving it to commute to work or for pleasure.

Your Driving History

If you don’t have a driving history or a long driving history, it’s going to go against you. However, over time, as you prove that you’re not a risk, the rates will go down. If you are above a certain age, that will also cause a decrease in price and as long as you don’t accrue traffic violations or accidents, your car insurance rates will further go down. If you do have a driving record, any prior claims that you filed will also be taken into consideration.

The Type of Coverage You Require

For individuals who are seeking to satisfy the minimum insurance requirement in their respective state, costs will be lower. If you’re still making payments on your car, though, to maintain your car loan, you may have to pay for full coverage that adds a premium to your overall rate. Your rate will also depend on how much liability coverage you would like have in your plan.

Shopping for car insurance and gathering quotes from the many insurance companies helps you see what’s available for you given your driving record, coverage required and vehicle you drive.

Posted January 30, 2016 by Car Blog in category General