Best answer: What factors impact the cost of your auto insurance premium?

What factors impact the cost of your auto insurance premium quizlet?

Factors that can affect an auto insurance premium​ are: –Value of the insured​ vehicle: the higher the value of the​ car, the higher the premium. -Repair record of the​ car: the more easily car damage can be​ repaired, the lower the premium. -Your​ age: younger drivers have less experience and pay higher premiums.

What are 3 reasons why the cost of auto insurance may increase?

3 reasons why auto insurance rates are going up

  • More miles driven. Lower gas prices in recent years mean many American families can afford to drive more. …
  • Distracted driving. …
  • Rising repair costs.

What are 5 factors that determine your auto insurance premium quizlet?

Factors that can affect an auto insurance premium​ are: –Value of the insured​ vehicle: the higher the value of the​ car, the higher the premium. -Repair record of the​ car: the more easily car damage can be​ repaired, the lower the premium. -Your​ age: younger drivers have less experience and pay higher premiums.

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Which of these factors will most likely influence the cost of car insurance?

The biggest factors that affect car insurance rates are state coverage requirements, age, and the car’s make and model. The more coverage you’re required to buy in your state and the more valuable your vehicle is, the more you’ll pay for car insurance.

Why does car insurance premium increase?

These reasons may include having filed a new claim or having had a traffic violation added to your driving history, adding or changing a vehicle, adding or changing a driver and increasing the amount of your coverage.

What causes insurance premiums to increase?

If your credit score goes down due to increased debt, decreased income, missed or late payments, too many credit inquiries, or some other reason, your insurance company may choose to increase your premiums to protect themselves.

What makes a car more expensive to insure?

High-End Cars, Higher Premiums

And as a general rule, more expensive cars cost more to insure because of the increased costs associated with repairing them, replacing parts — especially on foreign brands — or replacing the vehicle in the event of a total loss.

What factor affects insurance premiums the most quizlet?

Age of home affects insurance premiums the most.

What are three ways to reduce your car insurance premiums quizlet?

Three ways to reduce your car insurance premiums are get a high deductible, comprehensive insurance, and have a good driving record.

What factors influence how much a person pays for automobile insurance quizlet?

A category based on the driver’s age, sex, marital status, driving record, and driving habits; used to determine automobile insurance rates.

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