Charles Goodman Group: Professional Insurance Companies in Armonk NY
Like many people, you may feel that you pay too much for car insurance. All too often, people are completely unaware of how auto insurance premiums are calculated. By knowing the basics, you can more easily tell whether or not you’re getting a good deal. The right Armonk insurance agent will happily go over the factors that affect your premiums, but it never hurts to come into the situation with a basic understanding.
Most people assume that age and driving experience are the top factors affecting car insurance premiums. Interestingly enough, however, geography is often the biggest factor. If you live in an area that has high rates of auto theft, for instance, your premiums will be adjusted upward accordingly because the insurance company is more likely to face a loss in that situation. Similarly, if you live in an area with heavy traffic congestion, which leads to increased accident rates, you’ll probably pay more too.
That’s not to say that age and driving experience don’t matter. They do. Statistics show that drivers under the age of 25 are at the highest risk of being involved in car accidents, and insurance rates reflect that. The older you are, the less your age will impact your premiums.
One of the companies experts from the Charles Goodman Group in Armonk NY would be happy to answer any questions you have about health insurance or life insurance.
Drivers between the ages of 50 and 65 tend to have the safest records, so their age works in their favor. Regardless of your age, if you have very little driving experience – for instance, if you only got your driver’s license a year or two ago – your premiums are sure to be higher.
Seemingly unrelated factors can affect car insurance premiums. Gender, for instance, often plays a role. Women are statistically safer drivers than men, although that’s starting to change as more female drivers hit the road. Married people are considered to be more stable, and they’re less likely to file claims, so they often enjoy lower premiums. Your occupation can affect your premiums, especially if you drive a lot for your job or have a long commute. Incredibly, even your credit score can be taken into consideration when premiums are calculated; those with better credit ratings are considered to be more stable and less of an insurance risk.
Of course, your driving record plays a huge role in your premiums. The more moving violations and accidents there are on your record, the more you’ll pay for insurance. After all, you’re more likely to be involved in accidents and to file costly claims.
Some factors affecting car insurance premiums can be controlled; others can’t. Either way, it always pays to shop around for auto insurance, and a talented and experienced insurance broker can help.