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What Affects My Auto Insurance Rate?

There is a lot of misinformation out there about car insurance. You’ve probably heard people say that if your car is red, your premiums will be higher. Or that your rates can’t go up if you were in an accident but were not at fault. Maybe you’ve heard that, when you move, it affects your auto insurance rate. These are some of the common things people say, but that doesn’t mean they are all true. Your insurance experts in Hillsborough County at Kirby Soar Insurance are here to help you sort through the gossip and teach you what factors actually impact your auto insurance rates. 

Reasons Your Auto Insurance Rates Might Increase

Affects Auto Insurance Rate

Your Age Affects Your Auto Insurance Rate

Two different life stages can your auto insurance rates. Teenagers, the most obvious stage, are subject to higher car insurance rates because they are new drivers. Teens are 2.5 times more likely to be involved in a car accident than drivers between the ages of 20 and 24, according to the California DMV. In many states, teenagers’ rates can be lowered via student discounts if the student is added to their parents’ plan. If being part of your parents’ plan isn’t an option, you should note that as you age, your rates will begin to decrease. The next stage that can affect your auto insurance rate is being 75+ years old, at which point your rates may increase again.

How Often You Drive Affects Your Auto Insurance Rate

For many of us, our car is used primarily for commuting and leisure. If the primary vehicle driver is traveling to work, school, or to run errands, you should expect stable pricing. However, if you use your vehicle for other purposes, then your rates may be subject to increased charges. Some of these purposes may include working for a ride-sharing company like Lyft or Uber, commercial transportation, or you drive a company vehicle. 

Speeding Tickets Affect Your Insurance Rate

A speeding ticket can affect your car insurance rate for up to three years. One speeding violation may not cause major changes. However, two or more will likely spike your rates. Rate changes due to multiple speeding violations thankfully won’t last forever. Rates usually lower once those tickets drop-off your driving record; typically, after a couple of years. On a more positive note, it is rare for parking or toll tickets to affect your auto insurance rates. Although we don’t suggest letting them go unpaid. Despite the inconvenience, they can affect other aspects of your driving record. 

Auto Accidents Affect Your Insurance Rate

Not all accidents will increase your car insurance premiums. Of course, an at-fault accident usually does. However, much like a speeding violation, it should only be for a couple of years. Shockingly, even some not-at-fault accidents can increase your premiums. Usually decided on a case-by-case or by-incident basis. Good-To-Know-Tip: If you are the only car involved in an accident, you are likely considered to be “at fault” because there is no other driver. 

Where You Life Affects Your Auto Insurance Rate

Your ZIP code is one of the most weighed factors when considering your insurance premium. If you live in an area where the rates of theft, collision, or vandalism are higher, that can greatly affect your rates. Even if your legal-minimum insurance rates don’t increase, your full-coverage and alternate-coverage rates like collision insurance will. Florida state law requires at least $10,000 of personal injury protection and $10,000 of property damage liability for each vehicle.

Choosing The Right Car Insurance Coverage In Plant City and Central Florida

You’ve probably noticed that, regardless of other factors, the more coverage you choose, the more you’ll pay. State-minimums are going to be the cheapest. While full-coverage and alternate-coverage plans will cost the most out of pocket. The same goes for your deductible; a higher deductible means paying more on repairs or claims but decreases your overall rates. If you’re looking for car insurance and weighing your options, it can be overwhelming. Let the professionals at Kirby Soar Insurance help you. We work with multiple providers to find you the best rates in Polk and Hillsborough counties. Schedule a consultation with one of our auto insurance experts by calling us at (813) 752-1680. We’re proud to serve the insurance needs of our clients in Plant City, Valrico, Lakeland, Brandon, and throughout central Florida.