Auto insurance premiums are calculated based on several factors. These variables include the driver’s age, gender, occupation, physical address, and military background. For example, you may pay less for insurance if you live in a high-risk area. However, you should be aware of the fact that car insurance premiums can change at any time. Fortunately, there are several ways to understand the factors that affect premiums. Listed below are three tips for comparing car insurance premiums.
First, look at the driving history of your policy. If you have an accident in the past, you may have to pay a higher premium than you would for a less-risk driver. Similarly, if you have a history of traffic violations, your premium will be higher. This is because insurance companies gain more information if you have an accident. Also, if you fail to enter your car’s VIN in the quote form, you may find that your insurance premiums are higher than you initially thought. Also, if you’re not listed as a household driver, or you don’t add the names of other household members, you might find that your insurance premiums are higher than you had originally thought.
In addition to your credit score, your car’s location is also a factor. Insurance companies may determine that drivers with low credit scores have lower premiums than those with perfect credit. Also, the more often you drive your car, the higher your premiums will be. You should also consider your deductible when shopping for car insurance. If you choose a high deductible, you’ll pay lower premiums, while a low deductible will save you money.