Website design By BotEap.comAuto insurers write policies to assess the risk assigned to each insurance applicant. During this process, a person is grouped into a category, such as a high-risk, low-risk, teen, or elderly driver. If this risk associated with the applicant is deemed too high, the application may be denied coverage entirely. After the results are calculated, the insurance company gives a price, which is based on the perceived risk posed by the driver.

Website design By BotEap.com1. This is also known as qualifying the driver.

Website design By BotEap.comInsurers use this rating as a way of measuring what it costs to insure a particular person if a claim is filed and the likelihood that claims will occur again in the future. This is often referred to as the financial responsibility that an insurer assumes. The advice is to maintain a safe driving record and avoid car accidents and you will go a long way in getting cheaper car insurance.

Website design By BotEap.com 2. Not all insurance companies rate drivers the same

Website design By BotEap.comMany providers use the same general metrics, but their algorithms that ultimately determine the rates are quite different. One of the most important factors that all insurers use to calculate premiums is the frequency of accidents. When a person files a claim, the insurance kicks in and accidents can cost many thousands of dollars, especially if a death is involved. The more claims a person files, the riskier they are for the carrier and the more likely they are to file a claim in the future. Therefore, higher rates are imposed on these at-risk motorists. To keep rates low, avoid incidents and claims and you will save a lot of money on auto insurance. If you have had accidents in the past, don’t worry.

Website design By BotEap.com 3. Major Contributing Factors Affecting Auto Insurance Rates

Website design By BotEap.com*Driving History – Auto insurers will take a close look at the number of citations and accidents you have been involved in.

Website design By BotEap.comMaintain a good driving record and watch your rates drop.

Website design By BotEap.com*The location where you live: If you live in the city, you can expect to pay more than if you live in a rural area with much less traffic.

Website design By BotEap.com* The car you drive: This is a very important factor that makes up the rates. New and expensive sports or luxury cars have some of the highest insurance rates. On the other hand, used cars that are safe and cheap to repair have some of the lowest coverage costs. Get a boring used car and save on coverage.

Website design By BotEap.com* Marital Status: Married people pay less for cars because they are considered more responsible.

Website design By BotEap.com* Your age: Drivers under the age of 25 can expect to pay about twice as much for car tickets. The sweet sport for the lowest rates is between 32 and 62 years of age.

Website design By BotEap.com 4. Request all the Discounts you can

Website design By BotEap.comA great and smart way to save on car insurance is to apply for various discounts. If you have more than one car, consider getting a package or multi-vehicle discount. You can also take a safe driving course and save around 5%. Other popular discounts are good student, military, and even teacher discounts.

Website design By BotEap.com 5. Shop online for the lowest rates

Website design By BotEap.comThe internet has literally taken over the world. It has also saved millions of people money on auto insurance. Shopping for auto insurance online is smart because you can find direct rate prices that most brokers can’t match.