3 Rating Factors Some Car Insurance Companies Would Prefer You Didn’t Know
Ever wonder why car insurance rates vary so much from one car insurance company to another? It’s quite simple. They all rate on different factors that determine how much you will pay for a 6 month or annual policy. Understanding rates could save you a lot of money.
Below are 3 car insurance rating factors some insurance companies would prefer you didn’t know about.
#1: Your credit score
Having good credit doesn’t just qualify you for low percentage loans, it can also help you get cheaper car insurance. Some companies believe that the better your credit report the better driver you will be and therefore they can offer you better rates.
#2: Your education
Advanced degrees can help get you a better paying job and they can help you get affordable auto insurance. The reason some auto insurance companies use education to rate is because through the years they have seen that drivers who have higher education degrees may get into less accidents.
Another reason is that higher education typically entitles someone to a better paying job. Those who make more money can afford to pay for minor fender benders that tend to increase car insurance rates. By filing less claims, higher education drivers, or drivers who can afford to pay for minor accidents out of pocket keep their auto insurance rates affordable and low.
#3: Your current insurance provider
Who would have guessed that your current auto insurance provider could effect how much you page when you go to buy an insurance policy.
The reason for this is because some auto insurance companies are know in the industry as specializing in insuring high-risk drivers. If you list one of these insurance companies as your current insurance company when you go to get a quote for you might find yourself finding anything but affordable rates.