Whether you are shopping around for an insurance policy for your first car, or are looking for a new policy for the year ahead, you might be wondering what exactly goes into calculating how much you pay for your policy. When it comes to car insurance, there are several factors that come into play which calculate your level of risk and determine how much you are quoted when you search for a new policy. Some of the main factors that will definitely affect how much you pay when insuring your car include:
The Car Itself
Insurance prices are different for various types of cars so if you’re looking to buy a new vehicle, it’s definitely worth getting some insurance quotes first to make sure that it’s within your budget. The last thing that you want is to spend money on a new car only to find that your insurance costs have risen massively as a result. Generally, newer cars are cheaper to insure than older models since they tend to have more safety features like parking sensors and daytime running lights, which can reduce your risk of being in a collision.
Your age is a massive factor when it comes to how much you’re going to pay for your car insurance, and unfortunately, there’s not much that you can do about that other than wait until you’re a few years older for your quote prices to go down. Statistically, younger drivers tend to be more likely to get into accidents on the road, so if you’re under the age of 25, you’ll be paying more than your older friends and relatives. The good news is that as you build up your no claims discount and get older every year, you will see your insurance prices drop. Young drivers often benefit from getting a black box fitted; this will monitor your driving and adjust the price you pay based on things like sticking to speed limits and safe braking.
The job that you do can also have an impact on how much you will pay for your car insurance. If you need to drive your car to work, then you will have to take out a policy that includes commuting, which is often more expensive since you will be using your car every day and perhaps driving at peak times, which can increase your risk of being in a crash. You might be able to find car insurance for nurses or other professions which are designed to get you the best price.
Past Driving Experience
The longer you have been driving, the cheaper your insurance will typically be, but there are some factors that can affect this. For example, being involved in a collision in the past five years, whether your own fault or somebody else’s, can cause your premiums to rise. Any speeding tickets or points on your license will also mean you pay more, so it’s a good incentive to make sure that you drive safely. Generally speaking, the safer and more low-risk you are as a driver, the cheaper your car insurance will be.