Did you know that these factors affect your auto insurance premiums?
When trailing through online auto insurance quotes, you’ll notice that with every question you answer, the monthly cost will fluctuate. From coverage to your personal details, auto insurance premiums depend on several factors. The price of your auto insurance premiums is affected by a few factors!
As insurance is all based on risk, a teenager who is new to the roads will have a higher premium than a middle-aged adult who has been driving for many years, as a teenager is more likely to be involved in an accident and cash in a policy.
Check out what determines your auto insurance premium:
- Age – Those under the age of 21 pay an average of 48 percent more than those aged 21 to 25. As those who are unexperienced have frequently been involved in collisions, they face higher premiums.
- Gender – It really is a woman’s world! On average, men pay 5 percent more than women.
- Marital status – Single people pay an average of 19 percent more than married couples, while divorced people pay less than both single and married people! Don’t rush to the alter to save on your premiums yet, the cost difference could primarily be due to age.
- Locations – The cheapest states for car insurance are Idaho, Vermont, Wisconsin, while the most expensive states are New Jersey, Maryland, and Rhode Island. Of course, where you’re located with the state counts too. If you’re in a particularly dodgy neighborhood where crime is rife, you could face higher premiums.
- Homeownership – On average, renters pay 23 percent more than homeowners.
- Education – Typically, high school graduates pay 33 percent more than those with a graduate degree. Fortunately, those with good grades are able to get the Good Student Discount!
- Safety – If your car has added safety features, such as multiple airbags, daytime running lights, and you park it in a safe garage overnight, you may enjoy a nifty discount.