Top Factors That Affect Your Car Insurance Rates

Factors Affect Car Insurance Rates

The main factors in calculating your auto insurance.

Car insurance is a necessity for all drivers. Yet, different drivers on the road have different risk factors. In turn, individuals will pay a premium that suits their level of exposure. It’s actually a pretty complex business. Insurers calculate car insurance quotes based on how much of a risk there is that they’ll have to pay out on a claim. To find out what the main factors are when calculating auto insurance, read on!


The value of the car is, of course, important, as the more expensive it is, the more it’ll cost your insurers if you need to make a claim if your car is ever written off or stolen. Additionally, cars with safety features will cost less to insure than those without any.


Young people between 17 and 25 may have a hard time when it comes to insuring a car because it is often one of the most expensive payments. Thankfully, it does settle down once you reach 26. There are ways of softening the blow, though, so always ask your insurer for available discounts.

Where You Live

The insurers take the crime rate into consideration when determining your auto insurance premium. If you live in a populated area where theft and vandalism rates are high, you can expect to pay more every month.

Your Occupation

What you do for a living tells the insurers more about you and how likely you are to make a claim. For example, race car drivers pay more for their car insurance. Research has found that those who work in hospitals and police stations are more likely to drive safely, which offers them a lower premium.

Driving History

This has a varying degree depending on what you’ve got to declare. As you’d expect, three points on your license for a minor speeding offense will not have as much of an effect on your premium as a previous ban for drunk driving.

Skip the lengthy search of finding the right auto insurance policy to suit your needs and budget. For the auto insurance that you need and deserve, contact the team at Martplan Insurance Agency, serving La Habra and surrounding cities in California.