Factors That Affect Insurance Premiums

ByCole Sileven

Certain characteristics will cause you to be included in a group of drivers who present a greater risk than the average driver. Each such group is compiled based on how many claims were filed by individuals in that group. Insurance companies determine the rate based on the cost of those claims. There are things you can do to affect the group that you are placed in.

Make certain you maintain a spotless record. Those who have multiple accidents and tickets for moving violations will most often pay a much higher premium than drivers with clean records. If a driver is at fault in more than one accident in fewer than three years, or is convicted as the result of a DUI, the insurance company will usually raise the cost of the premiums significantly. They may also refuse to renew an insurance policy when it comes time for renewal. The policy can be immediately cancelled if you lose your driving privileges through suspension or revocation. Your poor driving record will do more damage if you are covered under your parents' automobile insurance. It will have a detrimental effect on their insurance and they may pay higher premiums as a result.
The type of car you drive will affect your premiums also. Some automobiles are more prone to damage in an accident. Some cost more for repairs, a luxury vehicle for example. Some are likely to be stolen more frequently than others. If you drive a high performance sports car, insurance rates will rise. If your car is deliberately "modified" to be a street machine, insurance may skyrocket.
Buy a car that has all the safety features. This includes vehicles with seatbelts that have the automatic release feature, anti-lock brakes and side as well as front airbags may lower the premium.
Your credit rating matters because you present yourself as a responsible, stable individual by paying bills on time. Premiums may go up for someone with a bad credit history.
Maintain a good grade point average if you are a student. Insurance companies may offer a discount to those who have a "B" average or higher.

These factors are just a few things you should keep in mind in order to save more on car insurance. Always avoid being categorized as a high risk driver. One single ticket or accident can increase your insurance cost for 3 to 5 years depending on who writes your policy. If you do get into an accident you should always consider shopping around since some companies are more lenient than others.

Comparison Insurance Quotes resource offers a way to comparison shop for car insurance from both National Carriers and local agents. Check out recently updates for insurance quotes Florida.

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Cole Sileven

Email Address:SubscribeCar Auto Article FeedFind More ArticlesSearchSimilar ArticlesAuto Insurance - What Factors Determine RatesFactors For a Low Rate InsuranceReview of Auto Insurance Risk FactorsHow to Find Car Insurance - Online Estimates and Rate ComparisonsCar Insurance Cost - What Type of Insurance Do You Need?Car Insurance Pricing FactorsLow Cost Car Insurance - Finding the Best Rate Just Got EasierAuto Insurance Premium FactorsCar Insurance - Unexpected Factors That Could Raise Your RatesCar Insurance - Getting the Lowest RateRecent ArticlesFacts Your Insurance Company Might Not Tell You AboutLearn How Teenagers Can Get Affordable Automobile InsuranceCan High Risk Drivers Get Affordable Insurance?Car Insurance Tips For The Modern DriverCar Insurance Quotes Come To FruitionHow to Get the Best Car InsuranceAcquiring a Car Insurance Quote Should Be an Informed ProcedureSomething About Automobile Collisions and Car InsuranceWhy You Can't Find Cheap Car InsuranceCar Insurance: A Guide to CoverageSubmitted On February 27, 2012. Viewed 3 times. Word count: 425.

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Sileven, Cole".".27 Feb. 2012EzineArticles.com.28 Feb. 2012 .APA Style Citation:
Sileven, C. (2012, February 27). . Retrieved February 28, 2012, from http://ezinearticles.com/?Factors-­That-­Affect-­Insurance-­Premiums&id=6907387Chicago Style Citation:
Sileven, Cole "." EzineArticles.com. http://ezinearticles.com/?Factors-­That-­Affect-­Insurance-­Premiums&id=6907387EzineArticles.com© 2012 EzineArticles.com
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