What parameters are taken into account when calculating the cost of the policy for you personally:
age (under 25 years old insurance is significantly more expensive, because the insured in the category of young driver and according to statistics, most accidents are committed by people under 26 years old, so for this category of persons the coefficients are increased)
Local driver’s license (if you are a state resident, you must have a local license, plus your insurance premium is considerably cheaper)
driving experience (even the experience that you had in another country counts, you should send copy of your license)
higher education (you can get up to 10% discount if you have higher education (especially if you are an engineer).
stable job and high income
marital status and children
type of insured car, its age and price, availability of pledge on the car (credit/leasing – more expensive by 10-30%)
availability of anti-theft systems
garage (insurance premium may be cheaper if you have a garage)
credit history
Driving history (any fines in the last year, how many points were deducted for violations, this point affects the most, because it characterizes you as a driver)
You may also be certified by a collision driving school (essentially re-reading the rules booklet online may help you get a couple of dollars off).
The state where you live and will be using the auto (this takes into account the state accident rate)
The county you live in (again the county accident rate, median income of people living in the county and other less obvious parameters)
The previous year’s premium rates, for example, because of the East Coast hurricanes in the winter of 2016 and the high number of claims, insurance companies raised policy rates starting in June 2016 for all states.
In general, the cost of auto insurance is affected by the following factors:
– The gender and age of the car owner;
– marital status;
– The driving record in the U.S. (worldwide);
– The area in which your vehicle will stay overnight;
– Insurance limits;
– deductible.
It reduces the cost of insurance if you decide to pay for part of the damage yourself in the event of an accident. For example if you say your deductible is $500, if you are in a car accident and get $3000 worth of damage, the deductible is $2500 and you have to pay $500 for the rest. If you scratched the bumper while parked and it cost $300 to repair it, you would not have to contact the insurance company. So the deductible essentially reduces the total cost of the insurance policy, and the higher it is, the lower the cost of insurance
