CHECK OUT THE NEW BUCKSBLOGSPOT. HELP FOR BUCKS COUNTY BUSINESSES AND ECONOMIC RECOVERY – BUCKSBLOGSPOT

Understanding my auto insurance cost and coverage

submitted by Rick Meyers, AAA Insurance Broker/Nichole Meyers, Richboro Office, cluballiance.aaa.com/Agent/NicholeMeyers

Auto insurance premiums are determined using a wide variety of factors. Some factors used may not be listed here and not all companies use all of these factors. So, in general, auto insurers typically factor information about:

  • Your car
    • What and how much you drive
      • Brand of car and age of car drives repair prices, many people believe that a newer car may be safer and offer more discounts. However, newer cars have newer technology. These parts are increasingly more expensive to replace. Also, the more miles you drive the higher probability of an accident or claim.
    • Where your car is stored
      • Higher population areas tend to have more crashes, thefts and vandalisms. Some companies may give a discount for off-Street parking.
  • You
    • Driving record
      • Clean driving record (no tickets or accidents) means lower cost insurance.
    • Sex, age and credit history
      • Statistically, women get into fewer crashes while younger inexperienced drivers get into more.
  • Your coverage
    • Amount and type
      • The Tort option in PA and NJ, deductibles and coverage limits all play a factor in premium.

Just remember not every insurance company uses the same rating factors and not every policy is structured the same.

When shopping auto insurance, the key is to find the best carrier that fits with you and your situation. Some carriers are competitive with “youthful” drivers 16-25, while other carriers’ rates increase tremendously when adding a new driver.

According to the Insurance Research Council, 1 in 8 drivers in the US is uninsured. Having the proper underinsured and uninsured coverages protect YOU the policy holder.

So, while a lot goes into the rating of premiums, understanding what you are paying for is essential, and is accomplished easily in a conversation with a local insurance broker.

0 0 vote
Article Rating
Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments
0
Would love your thoughts, please comment.x
()
x