Factors That Affect the Cost of Car Insurance

There are many factors that influence the cost of car insurance. The state you live in can influence the cost of auto insurance. Your neighborhood and crime rates will be factored into your premiums. If your neighborhood has a high crime rate or a history of claims, expect to pay a higher premium. Other factors that impact the cost of insurance include the type of vehicle you drive and whether or not it is locked in a garage. ohio auto insurance quotes

Some car models are more expensive to insure than others. While many cars in the top five list cost less than $1,266 per year, sports cars and electric cars tend to be more expensive. The most expensive car to insure is the Nissan GT-R, while the cheapest is the Honda CR-V. Some states even offer lower rates for newer vehicles. Some drivers choose to pay the minimum liability coverage, which is the lowest amount required by law.

Insurers tend to offer lower rates to drivers with good credit. However, in some states, insurers cannot set premiums based on credit score. Your state of residence and the car’s model may also affect the cost of your premium. Comprehensive and collision coverage are also determined by the value of your car. You may be surprised to find out that the same coverage amount can cost you significantly more than the same insurance premium with another company.

The age of the driver will also affect the price of car insurance. Young drivers are typically charged the highest rates between 16 and 25 and gradually decrease as they age. Insurance companies may also set rates based on gender. However, this is illegal in some states and should not be considered in determining the cost of insurance. For younger drivers, choosing a car with lower insurance cost may be the best option. These tips will help you find the best car insurance coverage possible.

The age and gender of the driver will also affect the cost of car insurance. Teenagers are considered to be higher risk drivers and therefore pay higher premiums. Drivers with good credit will also likely have lower premiums. Insurers use your credit score as a rating factor, but this practice is restricted in some states. If you can afford it, opt for a cheaper car insurance plan. If you own the car, make sure it is insured and that it has a safety rating.

State and city factors play a big role in the cost of car insurance. For instance, Florida drivers are 76% more expensive than the national average. For the same coverage, the average driver in Florida pays $105 per month and a whopping $1,262 a year. However, car insurance rates in Florida tend to be higher than in other states, as there are more drivers packed into a small space, leading to more crashes and claims.