Reader’s Question:
What are the things that can make my car insurance policy rates here in Texas go up?
Jack
Austin, TX
This is a very good question. There are many factors that auto insurance companies consider when evaluating (and re-evaluating) a persons auto insurance rates. It would be to the consumer’s advantage to become aware of these factors, and give themselves more control over their premiums. Here is a list of factors that an auto insurance agency or company will be using to determine your rates:
1. Your driving history – this can make or break your chances of getting affordable auto insurance coverage. Even minor traffic violations such as speeding tickets or getting points against your license will have a major impact on your current and future auto insurance premiums.
2. You’re Claims History – This works for all types of insurance, the more you file for an insurance claim (even minor claims), the more your provider would see you as a higher risk (if you weren’t, then why would you be filing claims that often?). Doing this is a surefire way of getting your rates bumped-up.
3. Getting involved in a car accident – it doesn’t even matter if you were not at-fault. Just being associated in a car crash is almost just as bad.
4. Your age – Insurance companies see advancing age as a liability. Physical effects of aging such as deteriorating eyesight, slower reflexes and lower stamina all contribute to an increased likelihood of being unable to avoid accidents.
5. Where you live, what you drive and how many miles you drive annually would also have an impact on your auto insurance rates.
Tags: auto insurance, auto insurance rates, auto insurance agency, affordable auto insurance