THURSDAY, OCTOBER 1, 2015
It's a combination of many things that determine how much you'll pay for your car insurance. Here's several reasons.
- Got a lead foot or just can’t seem to quit hitting stuff? Genuine accidents happen, but if you’re actively contributing, then the burden is on you. Insurance companies don’t make you drive fast or recklessly- they just react to you by raising the premiums.
- Live in the big city? The larger your population and the more dense your population, the higher the premiums. There are simply more people who run into each other and with higher frequency. And even between big cities, this holds true- the premium for Los Angeles, California is way more than my capital city of Columbus, Ohio.
- Got lousy credit? If your credit history is sketchy, this will raise your insurance premium. Credit does play a part in determining premium for a majority of companies. Fact is, the better it is, the better your premium.
- Have a bunch of expensive vehicles? The more expensive your vehicle, the more it costs to insure. So, if you are a sports car fanatic and have a garageful of Corvettes, Lamborghinis & Ferraris, you bet your bottom you’ll pay more than someone who has a minivan and a pickup truck.
- Got teenage drivers? Teen drivers are one of the most expensive groups of drivers to insure. The reasons are clear: they have auto accidents more frequently and with greater severity. So naturally, these drivers will be charged the highest premium. Luckily, most insurance companies will offer some discounts for such things as good grades, so it pays to do well in school.
- Are you an elderly driver? Elderly drivers are second only to teen drivers for having the most expensive rates. The reasons are similar- more frequent accidents and often greater severity. Diminished vision and slower reaction times are often the causes.
- Do you have low deductibles? If you still have a ZERO comprehensive and $100 collision deductible, it's probably time to take a second look at your insurance. If you choose higher deductibles (and it doesn't have to be A LOT higher, think $100 comprehensive and $250 collision), then you will probably see a sizeable reduction in your premium. If you have the cash saved, raise the deductibles.
- And speaking of coverage- are you paying for things you don't need? If you have an older car that isn't worth much, you might want to think about eliminating the comprehensive and/or collision coverage. If you don't care whether your car gets fixed after an accident, then why pay premium for a coverage that will? Think about roadside assistance or rental reimbursement. If you have Triple A, you may not need roadside assistance. If you have a car you can borrow any time you need it, then you might not need rental reimbursement. TALK to your insurance agent. He or she will help you figure out what coverage is necessary.
The bottom line is this- your Ohio car insurance costs what it does because of YOUR situation. Not your friends. Not your family. YOU. It is based entirely on you, what you're driving and how you're driving it.
Still have questions? Want to discuss your Ohio car insurance? Call Alan Galvez Insurance at (937) 592-4871 or fill out our auto quote form.
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