Renters pay about 6% more for insurance than homeowners. Different companies calculate this differently, so ensure you ask before buying auto insurance.
Your car isn’t safe enough: If your car performs poorly in crash safety studies, i.e., it suffers more damage in a crash than other vehicles, your insurance rate will go up. Buying a safer car could save your life and save you from higher insurance fees.
You Have a Long Commute
People that drive long routes between work and home pay more for auto insurance. Because the longer you are on the road each day, the greater your chances of being involved in an accident. Save money by carpooling or shortening your commute.
Thieves Like Your Car
If your make and model is targeted often by thieves, the insurance company will factor this into your insurance rate. Sometimes, thieves don’t even steal the car; they just go after certain parts that are in high demand.
Your Credit Is Poor
Some Insurance Companies Believe that People with Good Credit Scores File Fewer Claims and Are Involved in Fewer Accidents. So, They Charge Those with Poor Credit Higher Fees. Work on Improving Your Credit Score.
Your Car Is Expensive to Repair
A vehicle that costs more to repair costs more to insure. It may be very fuel-efficient and have all the latest safety features, but if its parts are expensive, you can expect to pay more for covering it.
If you live in a neighborhood or in a city with high accident rates, high crime rate car thefts, or car vandalism, you’ll be paying more for insurance. Your rate also depends on where the car is stored or parked.
You Have Teenagers
Adding a teenager to your insurance policy can send your insurance rate up by hundreds of dollars per month because they are more likely to be involved in accidents.
You’re Not Bundling
You could save money if you buy homeowners, life, and auto insurance from the same insurance company. Some offer discounts up to 25%.
You Didn’t Graduate from College
This seems unfair, but insurance companies charge people without a college degree more for insurance.