From coast to coast, drivers in every U.S. state need car insurance to protect themselves and their assets against liabilities and major financial loss. The cost of car insurance is directly related to the perceived risk a particular driver has of filing a future claim. In 2014, the nationwide average premium for liability, collision, and comprehensive coverage was $866, although we here in Wisconsin were fortunate enough to come in under the national average at just $646. Of course, not all drivers pay the same amount for coverage. Depending on your individual risk factors and where you purchase your coverage, you could end up paying much more or much less. Continue reading to learn what goes into the cost of car insurance and what you can do to ensure you are getting a good value for the coverage you need.
Factors that Affect the Cost of Car Insurance
Some of the things that affect your car insurance premiums the most are the things that seem the least related to your risk of being in an accident or filing a claim. However, research data supports unique links future claims risks to many different types of driver traits and behaviors. Some of the factors that could be used to determine your individual car insurance rates include:
- How often you use your car and many miles you drive annually
- The primary purpose you use your vehicle for
- The age of the drivers on your policy
- The type and value of the vehicle you drive
- Where you live and park your vehicle
- How many insurance claims you have had in recent years
- How many accidents or traffic citations you have had in recent years
- Current insurance score
Accidents and Traffic Violations
Car insurance rates can fluctuate as your personal risk profile changes over time. This is especially true if you experience negative changes in your driving record or claims history. Some insurers are willing to overlook a first-time violation or minor claim, although you may lose any safe driver discount or claims-free discount you may have been enjoying. However, multiple claims, accidents, or citations could result in a hike in your premiums. Likewise, paying for minor dings, scratches, and windshield cracks out of your pocket could save you the cost of your deductible and also help keep your premiums low.
Keeping Your Costs Low
When it comes to your car insurance, the quality of your coverage is the most important aspect of your policy. And while it might come as a surprise to you, quality does not have to come with a high price tag. By choosing an independent insurance agency such as Thiel Insurance Group, you can get the coverage you need at a competitive rate. We shop for policies from multiple carriers until we find an insurer that offers favorable terms and rates for our clients. Our loyalty is with you – not the insurance company. We will also work hard to find any discounts you may qualify for to maximize your savings further. Examples include discounts for:
- Insuring more than one vehicle on your policy
- Insuring your home and auto with the same carrier
- Claims-free history
- Accident-free history
- Low average annual mileage
- Student drivers with good grades
- Completion of an approved driver safety course
- Vehicle safety features (i.e. anti-theft devices)
- Education level discounts
- Advance purchase
For more information or to request your free quotes, contact our office today.
