Car insurance premiums vary not only from company to company, but the driver and the driver. When buying car insurance, there are many factors to how much you should pay. It is important to these factors in mind, because it can help measures the price you pay for your own insurance policy to lower. The following are some factors that car insurance premium:
Risk is one of the most important factors that insurance companies look at when determining premiums. For example, when the insurance companies determine their rates, they estimate that the risk of driver injury or damage to another, as in a car accident. Statistics show that young male adolescents at greater risk of speeding, disobeying traffic rules, and an accident to have. Adolescent males tend to pay higher premiums. In addition, the drivers of any age with a bad reputation of management, such as a history of traffic offenses or history of filing claims, the insurance will be assessed as high risk. The insurance company will look at the people who control the movement of history and take into account events such as the history of reckless driving, traffic offenses such as parking tickets, speeding tickets, fines, illegal activities such as a car intoxicatedetc.
Studies have shown that certain types of cars at a greater risk of being stolen. The insurance companies keep statistics on the risk of car theft. People who drive cars at high risk of being stolen to pay higher premiums. Also, if the driver’s car parks on the road, but not in the garage, there is a risk of theft. Other factors considered in determining the risk of theft involving the safety of a specific type of vehicle or car, such as through theft anti-theft devices, GPS tracking devices as well as a window and trunk locks. Sports cars and luxury cars are examples of the car at high risk of theft. Read the rest of this entry »
Liability Car Insurance
Liability insurance is insurance that provides coverage to a third party and property in the event of an incident causing damage that took place outside of the insureds vehicle. All provinces and states mandate that drivers have a specified amount of liability insurance. You can not drive a vehicle without having liability insurance. If a driver with liability insurance is involved in an accident and was deemed at fault, liability insurance will provide such coverage as the other partys medical expenses and other related costs, and coverage for damage to the other persons vehicle or property. It will not provide coverage for the insureds vehicle. Each province and state has established its own specific laws regarding the minimum liability that they mandate. This amount may not cover severe damages so it is essential to purchase enough liability because an accident causing severe damage can result in years of serious financial hardship. Most insurance professionals advise getting liability coverage of $1,000,000.
Full coverage insurance is optional car insurance. This type of insurance provides liability insurance as well as collision insurance or comprehensive insurance. When a driver gets full coverage insurance, they are not only covered for all of the liability issues, but they can also have coverage if they are involved in an accident. This is very beneficial if you have an expensive car. However, if you only have a car valued at $1500.00, collision is likely not worth the cost. Basically, when you have collision insurance, you are covered if you are in a car accident whether or not you are found at-fault. This coverage does not include being intoxicated while driving and getting in an accident. Read the rest of this entry »