Ever wonder just what plays a part in your monthly car insurance bill? Well, the fact of the matter is that many things do! Where you live, how many people are on your policy, and what kind of driver you are may all be elements of your monthly bill. Here is a brief look at just a few factors that can either increase or decrease your monthly car insurance premium!
Where you live and drive will have a tremendous impact on your monthly car insurance premium. Your insurance company will consider a few factors when it comes to taking your location into consideration. Property crime rates, vandalism, burglary, and theft are just a few examples of activities in your area that could negatively impact your policy. On the other hand, if you live in an especially safe part of town, your rate might see a significant improvement. Low crime rates and the absence of the occurrence of natural disasters such as hurricanes or tornadoes can all impact your premium rate in a positive way. The type of area you live in can also have an impact on your bill as a highly-dense city could be seen as a more risky policy than one set in the countryside.
Number of Drivers
Typically, adding more drivers to your insurance policy will increase your monthly rate. However, this truly depends on a few factors including the number of added drivers and their respective driving histories and ages. While adding another driver to your policy might make you assume your premium will automatically increase, think again. Sometimes, the addition of a driver can actually lower your monthly premium! Your insurance company considers all drivers and what types of drivers they may be. So, if you happen to add a driver with excellent driver history, your insurance company will consider your policy a lower risk. If you're unsure about whether the addition of another driver to your policy will impact your monthly payment, simply contact your insurance company for a quote over the phone with no obligations involved.
Speaking of good driving history, that is indeed another factor in determining your monthly premium rate. Your insurance company cares about what kind of drivers are on their policies. With an emphasis on rewarding those with good driving histories and raising premiums for those at a higher risk, you can expect your insurance provider to take a look at your own history. Unpaid parking tickets, speeding violations, and incidents involving alcohol are just a few examples of factors that would raise your rates. On the other hand, keeping a clean driving record free of accidents and even completing a driver's course are a few ways you can try to lower your premium.
To learn more, contact an auto insurance provider in your area.