5 Factors that Dictate How High or Low Your Car Insurance Premiums Get

If you’ve ever wondered what factors affect your car insurance premiums, here are just a few to keep in mind:

Your Credit Card History
Insurance companies calculate your rates based on a number of factors. One of these factors is your credit card history. More specifically, they examine your ability to be able to pay for your credit card bills on time. If your credit score is low, you’ll likely end up with a higher insurance rate because you’re a credit risk.

Your Job
Some insurance companies think your job indicates a measure of who you are as a person. For instance, nuns as well as police officers have lower rates, because they’re deemed responsible drivers. Pilots, too, have low car insurance rates, though that’s because they spend more time in the air than on the road. It’s the old numbers game at work. The more miles you drive, the more likely you’ll get involved in an accident, no matter how careful you are.

Your Grades
This is a bit of good news for all student drivers out there. Everyone knows the astronomical costs that teen drivers pay for. That’s because, based on statistical data, teen drivers—especially male teen drivers—show the highest percentage of being involved in car collisions, particularly drunk driving incidents. That tends to make insurance companies wary, so they give huge insurance premiums to these drivers. But having exceptional grades in school can lower those fees. Also, many companies offer students, who are on the honor roll at school, plenty of discounts. This is because students with high grades come across as more responsible drivers. That’s one more reason for you to start studying and hit your books. However, if you ever get involved in an accident, then your grades will do little to lower your rates until you reach 25 years of age.

Your Marital Status
Insurance companies tend to give out lower car insurance rates to married couples. That’s because they’re more careful and with kids in the car, they usually take all the necessary safety precautions to heart.

Your Age
Anyone from 16 to 25 years of age is subjected to the highest insurance rates in the country. The rates go down when you’re between 25 and 65 years of age. Then they go back up again when you hit your golden years.

Conclusion
It’s handy knowing what factors affect your automobile insurance in Lancaster PA. When you keep the above factors in mind and do a little bit of research, you’ll be sure to snag the best rates.

Susquehanna Insurance offers competitive car insurance in Lancaster. Want to learn more? Call and talk to us today!

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