EasyFinance.com Blog

The Factors That Could Influence Your Car Insurance Premiums

Posted May 20, 2019 by EasyFinance.com to Insurance 1 0

Car insurance will provide you with financial protection should you experience an auto accident. However, there are various factors that could potentially impact your premiums each month.

While there are some issues you can avoid that could affect your premiums, there are others that might be beyond your control. Learn about the factors that could influence your insurance premiums.

The Vehicle

The vehicle you choose will determine your insurance premiums. For example, you could receive a discount on your auto insurance if you own a car that features various security features, such as:

  • An anti-theft device
  • Anti-lock brakes
  • Traction control
  • Airbags
  • Automatic seat belts
  • Reverse parking

It is, therefore, wise to review a car’s potential insurance premiums before committing to a vehicle.

Always aim to pick a car that has a high safety rating. This will indicate to an insurer that they are less likely to pay for any medical bills in the event of a collision so you will pay less for insurance each month.

Your Driving Habits

How often you plan to drive a vehicle will also determine your premiums. For example, it is likely you will pay a higher rate for insurance if you have a long commute to work, in comparison to someone who plans to seldom use their car. That is because more time behind the wheel can increase your likelihood of being involved in an accident.

Your Location and Neighborhood

Your city and neighborhood can also impact your auto insurance premiums. For example, if you live in an urban neighborhood that regularly experiences car accidents, vandalism or theft, you will likely pay a higher rate in comparison to those who live in a safe, rural area.

It is also important to note that your insurance payments might be affected by your state. For example, New York is a no-fault state, which means you will be responsible for paying for your hospital bills in the event of an accident, even if a collision wasn’t your fault. However, some circumstances will allow you to file an auto insurance lawsuit. Learn more at www.rmfwlaw.com/personal-injury-lawyer-nyc.

Your Age and Driving Experience

If you are a young driver, it is likely you will experience a higher insurance rate in comparison to older drivers, who might be deemed more responsible. Plus, the longer you drive without a car insurance claim, the smaller your premiums will be throughout the years.

A Vehicle’s Size and Engine

The size of your vehicle can also determine your monthly premiums. For example, smaller vehicles are commonly not as safe as larger cars. To avoid paying a considerable sum each month, select a large car with a high safety rating.

However, it is important to bear in mind that a vehicle with a larger engine size for the vehicle’s body can lead to higher premiums. So, if you are buying a sleek sports car, consider choosing a V4 engine over a V8 engine to receive a lower rate.

About EasyFinance.com: ...

Leave a Reply:

Only registered users can post comments.

Find More Products & Services