• Home
  • Currently Insured?
  • Get A Quote
  • Customer Service
  • Refer a Friend
  • About Us
  • Location Map
  • Employee Directory
  • Privacy Policy
  • Contact Us
Call Us CALL US TODAY | (732) 295-5584 | INEAGENCY@GMAIL.COM
Home
  • Home
  • About Us
    • About Us
    • Benefits of Using an Independent Agent in Freehold, NJ
    • Why Use an Independent Insurance Agent in Point Pleasant?
    • Location Map
    • Privacy Policy
    • Event Calendar
  • What We Offer
    • Annuities
    • Automobile
    • Bonds
    • Business & Commercial
    • Dental
    • Flood
    • Homeowners
    • Life & Health InsuranceImage of right arrow
      • Jackson Township Life Insurance
    • Limousine
    • Recreational Vehicle
    • Renters
    • Retirement Planning
    • Trucking
    • Watercraft & Boat
  • Get A Quote
    • Quote Forms
    • Auto Insurance Quote
    • Bond Request Form
    • Business & Commercial Insurance Quote FormsImage of right arrow
      • Builders Risk
      • Business Owners (BOP) Quote Form
      • Commercial Auto Insurance Quote
      • General Liability Quote Form
      • Liquor Liability Quote Form
      • Workers Compensation Quote
    • Dental Insurance Quote
    • Earthquake Quote
    • Flood Quote Form
    • Health Insurance Quote FormsImage of right arrow
      • Disability Insurance Quote
      • Health Insurance Quote
      • Long Term Care Insurance Quote
    • Homeowners Insurance Quote FormsImage of right arrow
      • Homeowner Flood Quote Form
      • Homeowners Insurance Quote
    • Life Insurance Quote FormsImage of right arrow
      • Life Insurance Quote
      • Senior Life Insurance-Final Expense Insurance
      • Term Life Insurance Quote
    • Limousine Quote
    • Recreational Vehicle Insurance Quote
    • Renters Insurance Quote
    • Retirement Plans
    • Truck Quote Request
    • Watercraft Insurance Quote
  • Currently Insured?
  • Blog
  • Resources
    • Secure File Area
    • Refer a Friend
    • Important Links
    • Calculators
    • Free Reports
    • Make a Payment
    • Insurance Glossary
    • Customer ServiceImage of right arrow
      • Customer Service Forms
  • Contact
    • Contact Us
    • Join Our Newsletter
Auto Insurance AUTO Read More
Home & Flood Insurance HOME & FLOOD Read More
Business Insurance BUSINESS Read More
Life & Health Insurance LIFE & HEALTH Read More
Watercraft Insurance WATERCRAFT Read More
Retirement Planning RETIREMENT PLANNING Read More
Home > Blog > 4 Factors That Determine Your Auto Insurance Rates
MONDAY, MARCH 14, 2022

4 Factors That Determine Your Auto Insurance Rates

Ever wonder how insurance companies determine the rates for your auto insurance? Although algorithms and other mathematical computations generally aren’t made publicly available, you can effectively estimate factors that determine your rate by understanding risks, which will help you lower the cost of your car insurance.

The following four factors allow insurance companies to determine the risk you present, whether low or high. 


Driving History 

 
As the old saying goes, “past behaviors are a great predictor of future behaviors,” and most insurance companies agree. Using your driving history, insurance companies determine whether you are a potential risk, one that will result in a financial loss. If you are, then the cost to provide you with insurance will be higher. Individuals with a safe driving record pay less for their insurance since they have proven low-risk driving behaviors. Parked car near Beach  


Pro Tip: Taking a driver’s education or safety course can help you save money by helping you improve your driving skills. 


Age 
 

Younger individuals will typically be considered a higher risk for insurance companies, primarily because they have little experience driving. As they age and gain more experience driving, their insurance costs can decrease. For most people, the magic age that results in a decrease in insurance costs is 25.  


Pro Tip: For new, inexperienced drivers, reducing other risks can help you save money until you reach driving maturity, which often reduces your car insurance rates. 


Credit Rating 

 

Used by many companies to glean insight as to who you are, your credit rating helps insurance companies determine whether you will be a financial risk to them. Typically, individuals with lower credit ratings take risks in life, which may ultimately affect driving decisions they make while behind the wheel.  


Pro Tip: Improving your credit rating by paying your bills on time can help you reduce the amount you pay for car insurance each month. 


Where You Live 
 

Living in neighborhoods with higher crime rates can increase the premium you pay for auto insurance. Since auto theft tends to happen more often in these neighborhoods, the possibility of your car being stolen or vandalized factors into an increased rate for your auto insurance.  


Pro Tip: Protect your car by storing it in a garage or using anti-theft devices to secure your car when it is not in use. 


Although you cannot change what factors insurance companies use to determine your insurance rates, you can improve how they see you by lowering your insurance risks.  


Get a free quote today. Call I & E Insurance Agency at 732-295-5584 for more information on auto insurance. 

 

Posted 6:16 PM

Tags: auto, car, insurance, coverage, accident, progressive, farmers, travelers insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013

  • insurance(48)
  • flood insurance(29)
  • home insurance(21)
  • auto insurance(18)
  • seaside(15)
  • disaster(15)
  • point(15)
  • high end(15)
  • ocean(15)
  • mantaloking(14)
  • life insurance(13)
  • commercial insurance(12)
  • business insurance(10)
  • insurance new jersey(10)
  • property insurance(9)
  • nj home insurance(9)
  • coastal home insurance(8)
  • coverage(8)
  • nj flood insurance(8)
  • insurance jersey shore(8)
  • flood(7)
  • homeowners insurance(7)
  • liability(7)
  • car insurance(6)
  • retirement(5)
  • blog(5)
  • new jersey insurance(5)
  • best insurance agency of ocean county(5)
  • auto(5)
  • nj auto insurance(5)
  • home insurance quotes(5)
  • bolg(5)
  • workers comp insurance(5)
  • annuities(5)
  • retirement planning(5)
  • insurance quotes(5)
  • coastal property insurance(4)
  • policy(4)
  • small business insurance(4)
  • get a quote(4)
  • classic car insurance(4)
  • life(4)
  • health(4)
  • planning(4)
  • ira rollovers(3)
  • boat insurance(3)
  • ocean county flood insurance(3)
  • affluent home insurance(3)
  • how much is classic car insurance(3)
  • top nj insurance agents(3)

View Mobile Version
Facebook
Narragansett Bay logo
UPC Insurance logo
Travelers logo
The hartford logo
metlife logo
new jersey skylands insurance logo
progressive logo
facebook logo

Resources

Home About Us Get a Quote Customer Service Newsletter Contact Us
Chamber Certified
trusted choice logo
professional insurance agents logo
Car Insurance Agencies

Contact Us

location icon
  • I & E Insurance Agency
  • 2900 Route 88
  • Point Pleasant, NJ 08742
  • Phone: 732-295-5584
  • ineagency@gmail.com

This web site may contain concepts that have legal, accounting and tax implications. It is not intended to provide legal, accounting or tax advice. You may wish to consult a competent attorney, tax advisor, accountant or your own financial advisor. EMC Insurance Agency & Financial Services LLC dba I & E Insurance Agency & Financial Services is an Independent Insurance Agency, a Member of the Trusted Choice , Independent Agents of America and member of the ANE Network of Independent Insurance Agents, contact your own advisors before making any decision.

Services offered through independent NON-AFFILIATED ENTITIES

© Copyright. All rights reserved.
Powered by Insurance Website Builder