When it comes car insurance in just about any part of the world, there’s really no such thing as “universal” car insurance. Naturally, it’s going to cost a lot more to insure a 2018 BMW M3 as opposed to a 1998 Geo Metro. In fact, insurance companies might pay you to drive the Geo around.
Jokes aside, you may have insured one of your vehicles before, or just your sole vehicle, only to scratch your head wondering why on earth you’re paying X amount for your monthly premium. Or, you’re a rare case where you’re surprised at how little money you’re paying on a month-to-month basis, and you’re left wondering if your insurance provider thinks that you drive something different than you really have.
The reality is that there are some factors you can control in relation to how they affect your car insurance, and other factors that you really can’t control. Overall, it’s very beneficial to know everything that factors into your rate so that you can make an informed decision when choosing the right car insurance provider. Of course, at the same time, it’s also our job to help you understand and find the best policy that works for you!
Working Together To Find The Ideal Ottawa Auto and Home Insurance Policies
Of all the kinds of personal insurance services that offer, auto insurance is pretty important (along with homeowner’s insurance, of course). In the interest of better informing our readers, Bradley’s Insurance home and auto specialists offer these factors that affect how your car insurance rate is calculated. Let’s take a look.
Gender And Age
Statistically speaking, young men usually take on higher insurance rates than young women, as more male teenagers have demonstrated to get into more car accidents as opposed to female teenagers.
Interestingly enough, and conversely, older men generally have lower car insurance rates than older women. This might be based on some evidence that suggests older women are involved in more minor accidents than older men, but all things considered, the premium cost differential isn’t too crazy.
Your Marital Status
It’s not exactly clear as to why (maybe because you’re settled down and at a more mature point in life), but married people don’t seem to get into as many accidents as their single counterparts. If you’re looking for practical reasons to get married beyond pure romanticism, then hey, saving money on your home and auto insurance policy is not a bad one.
Naturally, your savings depend on your previous driving history, but if your record is pretty clean, you could be seeing some fairly significant discounts.
The majority of traffic accidents occur close to home, primarily because that’s where most people are headed to and from. Logically, the more densely-populated a given area is, the more expensive your premium will be, being that you’re more prone to accidents, theft, and collisions that result in injuries for either party.
Your Credit Score
More often than not, an insurance company is going to take your credit score into account when they determine your rate. Without going into specifics, the lower your score, the higher your insurance premiums will be.
Your Job Or Chosen Profession
Most auto insurance providers will draw associations between what you do for work and your risk potential at the wheel — this is also done for the purpose of easily adjusting your premium amount if they think your accident potential has gone up. Think about it: if you’re a commercial pilot, then you’re probably driving to and from the airport, and that’s about it (we have to imagine that calculating airline insurance is quite the business!). More on-the-go jobs like contractors and reporters require getting out on the road more often, thus increasing the likelihood of getting into an accident.
Factors Related To Your Vehicle
Your Car’s Safety Rating
Even if your brand new vehicle boasts an expensive price tag, chances are that it’s extremely safe due to the fact that it’s new. Now, the specific safety rating of different vehicles does vary quite a bit, but from an insurance provider’s perspective, a high safety rating means that there is a lower chance that they’ll need to pay out the medical bills for you and your passengers should an accident occur.
When determining a safety rating, things like airbags, traction control, ground clearance, lane assist technology, automatic braking, and other nifty overall safety features are considered.
The Size Of Your Vehicle
This factor is a bit tricky. In general, larger cars are considered much safer to withstand an accident as opposed to smaller cars. This is due to things like ground clearance, strength of the materials used, and….well, more ground clearance. If your large SUV has a similar safety rating to a comparable but slightly smaller SUV, the larger SUV will most likely get the lower premium of the two.
However, larger vehicles are more difficult to maneuver and park, which can certainly lead to some unplanned dings and dents along the way. You’re less likely to accidentally scrape against another vehicle when driving a small sedan through a parking lot, but carefully maneuvering a massive truck through the same area could lead to cringe-worthy results.
To complicate matters even further, vehicles with larger engines (relative to their body size) actually tend to have higher rates than vehicles with a smaller engine. Why? That’s because it costs more to maintain (and fuel) a larger engine. It’s points like these that illustrate the fact that calculating something as complicated as your premium is hardly a black and white matter.
Your Driving History
A driver with a flawless record is less likely to file any claims as compared to someone who has a history of getting into accidents, receiving tickets, or filing previous auto insurance claims. It’s actually not unheard of for insurance providers to outright deny drivers based on their atrocious driving history — and really, who could blame them for wanting to take on that level of risk?
If you have a bad knack for driving recklessly and near-out-of-control, if haven’t already been throw in jail for such actions, then speeding tickets that you’ve received will still look very bad in the eyes of your insurer. Of course, some people drive fairly recklessly and never even get pulled over for it, so insurance companies don’t really know the wiser. Justice is a futile thing, sometimes…but alas, we digress.
Insuring Drivers All Around Ottawa With Bradley’s Insurance Home And Auto Services
From our Stittsville office to beautiful downtown Ottawa, our mission is to connect the right individuals (and families!) with the right insurance policies. To learn more about finding the right Ottawa auto insurance policies, contact Bradley’s Insurance today!