It is imperative that we understand how your insurance rate is determined and what factors give you a higher or lower rate.
YOUR INSURANCE POLICY IS BASED ON THE FOLLOWING FACTORS:
* ZIP CODE -(Location where your vehicle is kept)
* YEARS LICENSED -(How old were you when you first got your license? A youthful driver is considered to be drivers ages 15-21)
* DRIVING RECORD -(Any tickets or accidents within 3 years or DUI's/DWI's within 7 years?)
* LICENSE STATUS - (Active, Suspended, Revoked, Learners Permit)
* AGE (How old you are) (Ages 15-24 are considered youthful)
* SEX (Male/Female)- Females are generally cheaper to insure.
* LAPSE OF INSURANCE/CURRENT INSURANCE (Have you had an insurance lapse)
* YEAR/MAKE/MODEL OF VEHICLE - (Vin # comes in handy)
* USAGE OF VEHICLE - (Do you use your car for work, school or personal use? How many miles per year do you drive?)
* WHO DRIVES WHICH VEHICLE - (If more then one driver, who drives what car.
* YOUR OCCUPATION - (Including your education, job title, etc.)
* MARITAL STATUS - (Married, Single, Divorced, etc)
* COVERAGES - (Coverage limits and deductibles)
Now
keep in mind that all states are different so these are generally
factors that are looked at in most states. But they be different from
state to state.
Now that you have a basic understanding of how your insurance is rated, it's time to CALL YOUR INSURANCE COMPANY.
Just
tell the agent that you would like to make sure that you are getting
all the current discounts and you would like to make sure some of you
information is correct.
First, start with going over with the agent the USAGE of your vehicle:
****YOUR PREMIUM SHOULD BE LOWER IF YOU ARE****:
* Driving under 7,400 miles per year.
* Not commuting to work/school.
* Not using your vehicle for business/tax purposes.
*
If you have a YOUTHFULL DRIVER (ages 15-24) in your home, make sure
they are listed as an OCCASIONAL DRIVER on the oldest car and carry
liability only on that vehicle.
* If any drivers has
TICKETS/ACCIDENTS, make sure they are driving an older vehicle with
liability only. If all cars on policy have full coverage and are new,
then have the driver with activity, drive the vehicle on occasion.
Now it's time to discuss with the agent your drivers license information and occupation:
***THESE FACTORS CAN LOWER YOUR RATE:***
*
Date first licensed. Tell the agent how old you were when you got your
first license. Even if it was in another country! This will help.
* Your occupation helps no matter what it is and also if you have a two year/4 year degree let them know.
Now
go over all of your personal information from step 1 to make sure that
your information is correct to give you the accurate and lowest
insurance rate. (Including address, zip code, occupation, usage, lapse
of coverage, tickets or accidents etc.)
Also, ask the agent if
their are any other discounts that you may be eligible for for you age,
occupation etc. (Each state varies)
Great! Now go over your coverage and make sure that you are not carrying to much coverage for your vehicle.
Example: If you have a 1979 Ford Pickup and are insuring the vehicle with Full coverage you may be
paying more for the insurance every 6 months then you would get back if
your car was involved in an accident.
**It is recommended that you carry liability only on a vehicle that is older then 10 years old.**
Great
now you are all done! Ask the insurance agent if he/she can quote what
your next renewal will be. Hopefully you were able to save some money
on your car insurance. If you follow all of these steps and are see now
decrease in premium, then your are probably getting a good rate.