7 Factors That Can Affect Your Auto Insurance Premiums - YouTube

In today's high-tech society auto premium calculations are probably more

complex than they've ever been. I want to highlight a few of the major factors

that go into determining your auto premium. The first one and maybe the most

obvious is your past record. If you've got speeding tickets, cell phone usage

tickets, or even a DUI those are going to play major factors in determining your

auto premium. The other major factor whether you've filed claims in the past.

Yes, even that fender bender or the deer hit are gonna play a factor, even if you

had to file a claim because somebody backed into you in a parking lot and

drove away. Those all could come back on your record

and affect your future premiums. The next factor is your credit score or insurance

score as some carriers refer to it as. Insurance companies have correlated

higher credit scores with fewer claims. while I don't necessarily agree with

this it is a factor that they use so the higher your credit you're going to see a

little bit a little bit of a discount in your premiums. The type of vehicle that

you drive can also play a factor. Obviously high-end cars with higher

values you're going to pay more premiums that's a given but there are other ways

your vehicle affects your premium as well, for example safety features can

help lower your premium while protective devices and alarms can also

help lower it. Keep in mind that even though you have all these safety

features and sensors all throughout the vehicle, those cost more if you're in an

accident. So as cost to replace or repair vehicles increases, you're going to see

carriers offset that with higher premiums. Your insurance history is also

going to play a factor in your premiums. If you don't have prior auto coverage

you're going to pay more when you start a new policy.

If you have state minimum liability limits and you're switching to higher

coverages you're also going to see an increase in premium because you haven't

carried those coverages throughout. I recommend carrying those higher

coverages for a while before you shop your policy next time. This will help you

lower your premiums in the future. Also insurance companies love to see

supporting home and auto business you can call this a package policy or a bundle

however you refer to it companies like to see that home and auto discount. Your

household makeup is also gonna play a factor in your Auto premiums. Obviously a

16 or 18 year old they're gonna pay more than someone that's established in 40

years old. Especially if that 16 or 18 year old has

a speeding ticket or a cellphone usage ticket in the past. The way you use your

vehicle is also going to play a role in your premiums. Somebody that drives a

mile or two to work or maybe they're retired and hardly drive anymore can get

a pleasure discount lowering their premiums. Somebody that's a Salesman and

travels may have to list their vehicle as business use, increasing their

premiums if you're using your vehicle for work or if you're retired and don't

drive much anymore talk to your agent make sure your vehicle is listed

properly on your policy so you're rated correctly. These are just a few of the

factors that go into affecting your auto premiums

while this isn't everything it's kind of a high-level overview and some things

that you can do to help control or lower your premiums.

I recommend talking to an independent agent such as Clark Carroll insurance

Agency as a way to shop your insurance from several carriers and really see

what the best premium is for you. Give us a call at 815-244-1570