Five Factors that Can Affect Your Auto Insurance Rates

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If it’s time to renew your auto insurance policy, you may be interested to know that there are dozens of factors that can raise or lower your rates. Your car insurance premiums are based on much more than your driving habits and location, and while many of these factors are in your control, some are not. Here are five factors that weigh heavily on your insurance rates:

1. Profession

You may not have known it, but your profession plays a significant role in your auto insurance rates. If your occupation has you on the road frequently, you can expect to pay higher rates than the banker next door. If, on the other hand, you are a police officer, a paramedic, or a scientist, you can expect your rates to be lower than average. Insurance companies look at your profession as a way to determine if you are likely to be involved in an accident. If you drive frequently, your chances of being involved in a collision are higher than average. If you are a police officer, it is assumed that you drive more carefully than the average person on the road.

2. Your Car’s Age Many people are under the mistaken impression that a newer car is cheaper to insure when, in fact, just the opposite is true. The reason behind this is quite simple when you think about it: newer cars are more expensive to repair or replace. If you have an older car that you have restored, the cost of replacing your vehicle will be more than the car is worth. If you are looking for the best rates on auto-insurance, look for a car that was manufactured between three and eight years ago.

3. Safety Rating

If your car has received a high safety rating, it means that the insurance company is less likely to pay for exorbitant medical bills if you are involved in a collision. Cars with automatic breaking systems, airbags, automatic seat belts, and traction control are often cheaper to insure.

4. Marital Status

Car insurance agencies have found that, statistically, people who are married are less likely to be involved in a car accident. If you are single, getting married can cut your insurance premiums in half, particularly if you are a young man. While it’s not a reason to rush out and get married, it’s good to know that when you do, you can save money on your auto insurance.

5. Your Address

The crime statistics in your neighborhood play a large part in how much you will be charged for auto insurance. Additionally, if you live in a congested city instead of a rural area, you can expect your insurance rates to climb. Both of these factors are taken into consideration because each increases your likelihood of filing a claim. If you move in the future, be sure to contact your insurance agent to find out if you can lower your insurance rates. There are many factors that come as a shock to consumers when it comes to how insurance rates are calculated. If you understand these factors before you buy your car, you can make a smarter decision if you are concerned with the rate of your insurance premiums. While some of these factors may be out of your control, many are simply a matter of choice. When it comes to your auto insurance, your profession, marital status, and location can make a significant difference.

Beverly Reilly blogs about car insurance rates. If you find that you are paying too much for car insurance, you can find cheaper quotes at, a site that lets you compare rates for free.