When you purchase the exact same automobile that your neighbors have–but have to spend much on your insurance–you’re probably going to be very disappointed. But car insurance rates differ for everyone–that’s the bottom line. There are several factors that contribute to how much you will have to pay for your car insurance.  Your credit history, driving record, gender, and marital status are all determining factors of how much you will pay.

Credit history

A significant spike in insurance rate can be attributed to your credit history. If you have missed payments, have been late on payments, or have not upheld your obligations as a credit holder, you will probably have to pay more for your car insurance. Individuals with a bad credit history usually have considerably increased car insurance rates in comparison to people with good credit. The bottom line is that you should make sure that your finances are in order to get the best possible auto insurance rate. Otherwise, you will be shelling out more money every month because of a bad credit history.

Driving record

If you’re someone who has a lot of accidents or traffic infractions, be prepared to pay a lot more for your car insurance. Insurance companies look at your driving record and history to determine what kind of driver you are–and what to expect you’ll be like as a client of theirs. Drivers with a less-than-perfect driving record are considered risky by car insurance agencies, and therefore, those individuals will have to pay more for their car insurance rates. That is why it is important to be a safe, responsible driver. If you aren’t, then expect to pay more for your car insurance rates.

Gender and Marital status

You may find this hard to believe, but gender and marital status both contribute to car insurance rates.

Car Insurance Rates vary from company to company and policy to policy. Always make sure your policy covers at least your state’s minimum requirments.

Males spend substantially more on their car insurance compared to their female counterparts. Some of the reasons for this is that males cause more accidents, have more traffic infractions, and are more aggressive and riskier drivers. Males also drive more than females do. Single or divorced men also spend much more compared to their wedded counterparts and females due to the same factors. All of these factors contribute to an increase in car insurance rates.

Written by Evelyn Angel Martin
staff writer – averagecarinsurancerate.org