• All Roads are Not Created Equal: Tips for Rural vs. Urban Driving
  • Pros and Cons of Buying a House Now
  • 7 Family Activities You Can Do While You're Working From Home During the Coronavirus Pandemic
  • 6 Home Organizing Projects to Keep Your Children Busy While You're Working From Home During COVID-19
  • 10 Tips for Staying Productive When Working From Home During the Coronavirus (COVID-19) Pandemic

Insurance Rates Explained: Why Did My Car Insurance Go Up?

Sharon Brezner

You open your auto insurance bill, and you are wondering “why did my car insurance go up?”

If something about your situation has changed—you bought a new car or recently had an accident, for example—you’re probably expecting the increase.

But what if nothing appears to have changed? What would explain the sudden increase in your car insurance rate?

Key Insurance Rate Factors

When calculating your car insurance quote, most auto insurers look at a number of factors that, through statistical modeling, help them determine how likely you are to have an accident or another type of claim. The factors, which can influence your car insurance policy rate, fall into three main categories: you, your car and how you drive.

You

Car insurers start with basic demographic information such as your age, gender and marital status. For example, older and more experienced drivers tend to have fewer accidents than younger drivers, and single drivers tend to have more accidents than married drivers. Where you live is also considered. An urban setting may mean you’re more likely to have an accident or be the victim of theft.

Insurance companies will also consider credit reports and prior insurance. Drivers who have positive information in their credit report are more likely to pay their premiums and keep their insurance in force. Furthermore, drivers who keep their insurance in force are less likely to be involved in accidents and moving violations, and thus, are generally charged lower rates.

Some companies may also consider your profession, especially if there is a strong link between what you do for a living and how much and how far you typically drive.

Your Car

Generally, the more important factors related to your car are its age, make and model. Statistics on those characteristics help predict how likely the car is to be stolen by thieves or in an accident, as well as how much it would cost to repair or replace it in the event of a claim. Some companies also consider the safety rating, and age of the vehicle. Safety and security features, such as collision avoidance technologies or anti-theft devices, may make you eligible for discounts or credits that help lower your costs. Read More

Recent Articles & News
  • All Roads are Not Created Equal: Tips for Rural vs. Urban Driving
    anemptytextlline
    anemptytextlline
  • Pros and Cons of Buying a House Now
    anemptytextlline
    anemptytextlline
  • 7 Family Activities You Can Do While You're Working From Home During the Coronavirus Pandemic
    anemptytextlline
    anemptytextlline
  • 6 Home Organizing Projects to Keep Your Children Busy While You're Working From Home During COVID-19
    anemptytextlline
    anemptytextlline
  • 10 Tips for Staying Productive When Working From Home During the Coronavirus (COVID-19) Pandemic
    anemptytextlline
    anemptytextlline
  • Business Continuity Planning in 4 Steps
    anemptytextlline
    anemptytextlline
  • Creating a Safety Culture in the Workplace
    anemptytextlline
    anemptytextlline
  • How to Onboard and Train Employees into a Safety Culture
    anemptytextlline
    anemptytextlline
  • An Engaged Workforce Can Improve Safety
    anemptytextlline
    anemptytextlline
  • Tips to Help Keep Employees and Visitors Safe in Parking Lots
    anemptytextlline
    anemptytextlline
  • 5 Tips for Childproofing Your Home
    anemptytextlline
    anemptytextlline
  • How to Prep and Open Your Pool for the Summer
    anemptytextlline
    anemptytextlline
  • Swimming Pool Safety Tips
    anemptytextlline
    anemptytextlline
  • Yard Safety
    anemptytextlline
    anemptytextlline
  • Tree Maintenance and Care
    anemptytextlline
    anemptytextlline
  • Summer Home Maintenance Tips
    anemptytextlline
    anemptytextlline
  • How to Help Prevent Heat Stroke
    anemptytextlline
    anemptytextlline
  • Types of Fire Extinguishers
    anemptytextlline
    anemptytextlline
  • How to Use a Fire Extinguisher [Video]
    anemptytextlline
    anemptytextlline
  • Cooking Fire Safety
    anemptytextlline
    anemptytextlline
  • The Science of Gas Grill Fires
    anemptytextlline
    anemptytextlline
  • Staying Safe in Work Zone Traffic
    anemptytextlline
    anemptytextlline
  • Share the Road
    anemptytextlline
    anemptytextlline
  • Car Safety Technologies that May Save Your Life [Video]
    anemptytextlline
    anemptytextlline
  • Choosing Safe Cars for Teens
    anemptytextlline
    anemptytextlline
  • How to Talk with Your Teen About Safe Driving
    anemptytextlline
    anemptytextlline
  • A Timeline for Getting Your Teen Driver on the Road Safely
    anemptytextlline
    anemptytextlline
  • How to Help Prevent Your Boat from Sinking
    anemptytextlline
    anemptytextlline
  • Developing a Storm Preparedness Plan for Your Boat: Tropical Storms and Hurricanes
    anemptytextlline
    anemptytextlline