Purchasing car insurance is a major component of owning a vehicle. Not only does it help protect you and your assets in the event of an accident, it’s also required by law. Still, that doesn’t make paying those premiums any easier, particularly in Louisiana, where they are 56 percent higher than the national average.
As it turns out, there are several factors that go into determining just how much protecting your vehicle will cost you, some of which are beyond your control. Read on to find out what might be factoring into your rate and what you can do to lower costs.
Gender, Age, and Car Insurance Rates
Younger people – those in their teens and early twenties – tend to have higher car insurance rates because of their lack of experience behind the wheel and higher risk of being involved in an accident. Young males are statistically involved in accidents more often than their female counterparts; therefore, their rates are higher. However, older men generally have better rates than older women. Some evidence suggests that older women get into more accidents than men, though the difference isn’t significant.
Marital Status and Auto Insurance
Married couples tend to get into fewer accidents than singles; therefore, getting married could significantly lower your rate if you have a clean driving history. If you are a man who has never gotten into an accident, you could see your rate almost cut in half.
Credit Score Impact on Car Insurance
Your credit score can also be used to determine your car insurance rate. In general, lower credit scores mean higher insurance premiums and higher scores mean lower premiums. This can be attributed the perceived financial risks associated with a lower credit score.
Vehicle Size and Insurance Cost
Larger vehicles are more likely to provide protection in the event of an accident. If your car has a good safety rating, the premium is most likely much lower than that of smaller cars. Cars with larger engines relative to their size will generally have much higher premiums as well.
Car’s Age and Insurance Premiums
Older cars are likely to require an expensive amount of repairs in the event of an accident. Most people opt to buy a new vehicle instead of shelling out more money than the older car is worth. Because of this and the fact that newer cars are not as likely to be ‘totaled,’ new cars generally have much higher collision rates.
Regardless of the premiums associated with your own auto insurance, the end goal is always the same: to keep you safe on the road. At Medines Collision Center, we are experts in not only auto body repair, but auto insurance and claims. If you’ve been in an accident and are overwhelmed by the process, we can help!