What goes into my rating info, how are my car insurance rates determined?
A. Chris Tijerina
-driving record
-usage, how you are using the vehicle, work, pleasure, business
-how many drivers you have and their ages
-how many vehicles you have
-what kind of coverage limits you want
-what area you live in
-your payment history
-what color car you drive
-your insurance credit score
-your claims history
-your occupation and how many years you have lived at your current residence
-how fast you can solve a Rubix cube
-your daily, weekly, annual mileage
There is a lot of information about you that is used to determine your rates. You are grouped or pooled together with similar drives of the same background that way you are not paying for drivers that are much worse than you.
Similar risks will pay similar rates.
Your usage affects your rates because if you are driving to and from work or school 5 days a week, 15 miles one way you have a higher chance of getting in a accident than someone who only drives 1 mile 1 way 3 days a week or someone who works from home and only drives to get groceries. So business, work, and school usage is higher than pleasure usage.
The area you live in affects your rates due to the fact that one area or town may have a higher incidence of claims than another area. One area may have higher lawsuit payouts or higher theft rates than another area. Even if you live in a affulent area your rates may be higher due to the higher value vehicles in your area cost more to fix than in an area with lower value vehicles.
Although you may have heard that if you drive a red car you will pay higher rates but this is not true. It is a myth. GEICO, USAA (For Military Only), and Allstate, to name a few, don't even ask what color car you drive when you apply for a quote. And your VIN number doesn't give this info either.
If you have one car and three drivers you will pay more because that car will get used alot more than if you had only 1 driver and 1 car.
If you have had a poor payment history or your policy has cancelled due to non payment you will have higher rates when you try to reapply for insurance.
The higher your insurance credit score the better. The insurance credit score is similar to your FICO credit score such that the higher your FICO score the lower your interest rate and the higher your insurance credit score the lower your insurance premium.
Your claims history will affect you for a minimum of 3 years. If you have filed a claimed or if you even mentioned a claim to your insurance company it can and most likely will affect your rates.
About the Author
A. Chris Tijerina has published a site about the most frequently asked questions about auto insurance. Visit today : http://www.insurance-for-cars.com
The latest information and news on Car Insurance:
Multi Car Insurance Policies - Lolita Storm (blog)
Multi Car Insurance Policies
Lolita Storm (blog)
Multi car insurance means that you are entitled to a discount if the car is registered to the same address. It doesnt matter if it is a spouses car, ...
Get the reviews of all cars at autodriver.com before buying a new carEarthtimes (press release)
all 3 ...
Farmers to Lower Car Insurance Rates for Some California Policyholders - Insu...
Farmers to Lower Car Insurance Rates for Some California Policyholders
Insurance Rate
Farmers move brings the insurer into compliance with a 2006 state law that altered the way car insurance providers could determine their premiums, ...
Farmers to cut auto insurance rates for some California customersL...
Do you lie to get cheaper car insurance? - This is Money
This is Money
Do you lie to get cheaper car insurance?
This is Money
Car insurance premiums have rocketed by more than 30% over the last year, from £538 to £704, an increase of £166, according to the latest research by AA. ...
and more »
Online Car Insurance Companies offers Free Car Insurance Quotes - Granite Bay...
Online Car Insurance Companies offers Free Car Insurance Quotes
Granite Bay View
Finally we discuss the type of low car insurance For having been the subject of a made temporary drop in traffic Either by moving to another country or ...
Local Company Offers Affordable Car Insurance QuotesLive-PR.com (p...
Ontario car insurance double national average on fraud - CANOE
Ontario car insurance double national average on fraud
CANOE
Consumers in Ontario pay almost double the national average for car insurance because of fraud and abuse, though efforts to ...
RBC warns of rising insurance fraudCTV.ca
all 5 news articles »
auto insurance - Google News
State Auto Financial Reports Second Quarter 2010 Results - MarketWatch (press...
State Auto Financial Reports Second Quarter 2010 Results
MarketWatch (press release)
Additional information on State Auto Financial Corporation and the State Auto Insurance Companies can be found online at www.StateAuto.com. ...
State Auto Financial posts wider-than-expected Q2 lossReuters
Storm Losses ...
Farmers to cut auto insurance rates for some California customers - Los Angel...
Farmers to cut auto insurance rates for some California customers
Los Angeles Times
The move, announced Tuesday, puts the company in compliance with a state law passed in 2006 that changed the way auto insurance providers could calculate ...
Farmers Insurance to cut auto insurance rates in CaliforniaCe...
Federal government or states: Who should be responsible for immigration ... -...
msnbc.com
Federal government or states: Who should be responsible for immigration ...
Wall Street Journal
... are here illegally and they pay little in taxes, do not have vaild drivers licenses and carry no auto insurance so my auto insurance continues to go up. ...
Arizona Law Questions: Racial Profili...
The Progressive Corporation Announces Investor Relations Conference Call - Ma...
The Progressive Corporation Announces Investor Relations Conference Call
MarketWatch (press release)
The Progressive Group of Insurance Companies makes it easy to understand, buy, and use auto insurance. Progressive offers choices so consumers can reach us ...
and more »
Storm claims rain down on Sask. insurers, topping $100M - Vancouver Sun
Nanaimo Daily News
Storm claims rain down on Sask. insurers, topping $100M
Vancouver Sun
The Crown corporation, which operates a general insurance business under the name SGI Canada and also manages the province's compulsory auto insurance plan, ...
Sask. damage claims over $100M following several s...