Your car insurance premium depends on a lot of things
The premium you are required to pay for the insurance of your car depends upon a lot of factors. These are basically risks, and each is considered before arriving at a premium. For different places and different populations, risks are different. So premium calculation is also location specific. We are going to discuss some important factors which decide the premium of your car policy.
1. Age: In general, drivers below the age of 25 years are considered to be at a greater risk than those who are mature in age. Age around 50-60 is taken as the safest as people of this age generally drive the car very slowly.
2. Gender: Earlier it was presumed that women are safe drivers, but now with the increase in number of women drivers, this concept is changing. Also, with increasing traffic, women are no longer taken to be safe.
3. Marital status: Bachelors need to pay more than a married man of their age.
4. Location: Places with little or no traffic pay less premium amount than people who live in places with heavy traffic.
5. Past driving record: If your slate is clean, you pay less than if you have been repeatedly given tickets.
6. Car make: Smaller cars need less cover as compared to big and expensive cars.
7. Credit score: if you have a good rating, you need to shell out less and are considered to be safer than a person with a poor credit score.
8. Vocation: those in dangerous occupations need to pay more than those who live a sedentary life.
9. Education: having a higher degree can save you in your premium. (How is this possible?)
10. Distance covered every year: The more you travel in your car, higher is the premium
11. Commercial use: Using your car for earning makes you liable to pay a higher premium
12. Multiple cars: If you own more than a single car, you ay less.
13. Protective device: if your car is fitted with antitheft devices, you are required to pay less.
You must be wondering as to what you can do to be paying less than what is required. Call agents of different companies and let them quote the premium that you are required to pay. The best idea would be to compare the policies of different companies and choosing that you like.http://www.carinsurance.com is one site where you get comprehensive info about different insurance companies.