How are auto insurance premiums calculated?

To determine the cost of your auto insurance premium, insurance companies take several factors into account. The specific criteria vary from company to company, but many insurance premiums take the following into account when calculating your insurance premium:

• Your age and gender
• Your driving record
• The type of vehicle you own
• Your credit history
• Your occupation

Most insurers use a combination of these factors to determine how much of an insurance risk you pose to the company, which then determines how much your premium will be. However, there are ways to receive discounts on your premium, such as maintaining good grades or taking a defensive driving class.

For assistance with finding affordable auto insurance price quotes available in your area, contact us today.