Did you know that there are dozens of factors that make up the cost of your car insurance? There are some factors that are outside of your control but there are also some that you can control, which means that there are always ways that you can make savings on your car insurance. This post will look at 5 of the main factors that affect how much you pay for your car insurance.
1. Your Choice of Car
One of the main factors that affects insurance is the car that you drive. If you were to drive a new flashy sports car, this will cost a lot more to replace so your insurance will be higher.
Therefore, if you are looking to keep your car insurance costs down then a small car that is not too powerful from the used car market would be a smart option.
2. Your Driving Habits
How you use your automobile is also a factor that influences how much your insurance costs. One of the key factors in this is your annual mileage – the more distance that you cover, the more likely you are to have an accident or a problem with your car.
3. Where You Live/Park
Another factor that insurance companies take into consideration is where you live. If you live somewhere with a high crime rate or somewhere where there are lots of claims are made, this could result in a higher insurance premium.
In addition to this, where you park the car will be considered – ideally, you will have a garage or off-road parking where your car will be safer. If parking on the street is your only option, you might want to consider additional security features that could increase security and lower your car insurance (especially if you live somewhere with a high crime rate).
4. Driving History
Obviously, your driving history will also be looked at. Things like penalty points, suspensions and previous insurance claims can all result in a higher premium. How many years you have also been driving can also have an impact with experienced drivers being deemed safer than new drivers.
5. Your Age
Following this, your age is also a key factor that is considered. Young drivers are deemed to be a higher risk and more likely to have an accident, which is why insurance can be a major cost for young motorists. At the other end, many insurers also see those that are 75+ as higher risk.
These are 5 of the main factors that determine how much you pay for your insurance. There are multiple other factors that are considered, but these are the 5 factors that hold the most weight. Some will be within your control, so there are always ways to bring the cost of your insurance down.