Car Insuranse Pricing Plans
ADDED
05-28-2007
The law requires all drivers to carry liability insuranse which will cover any claims that are determined to be your fault. If you want coverage for your own car you will need to purchase comprehensive insuranse since liability coverage only covers the other person.
Insuranse companies calculate the price you pay for insuranse by determining how high your risk factor is. If they consider you to be a high risk you will have to pay a higher premium.
Common factors used to determine rates are the value of your car and that car’s safety rating, the amount of deductible you want, the number of miles you expect to drive the car, your age, and your gender.
There is usually a flat rate that is added to when high risk factors come into play. Accident history, expensive cars, and your age can all determine where your rate will go from there.
Some car insuranse companies offer discounts for low estimated future mileage if the consumer can take a guess at the number of miles they will drive in one year. If this estimate is 12,000 miles or below, you might receive a discount. However there is usually no penalty if you exceed that estimate.
The best way to buy car insuranse is to shop around, protect your driving record, and buy a reliable car that is not known for its speed. |
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