Car Insurance Key Factors that affect your Rate

Do you really understand what key factors actually influence you and your family’s car insurance?  Most individuals don not realize all of the items that are analyzed before an auto insurance company actually provides you with an insurance quote.  There are 11 major factors that determine what your car insurance rates will be.  This includes any other moving vehicle that you may need to insure as well such as motorcycles, all terrain vehicles and RV’s.  Don’t feel bad that you are not aware of these items that affect your car insurance rates as most of the general population know very little if nothing at all.  It really isn’t something that insurance companies discuss with their clients but probably should.

Most individuals make sacrifices when choosing an auto policy by going with a plan that has a higher deductible or even the dollar amount of coverage.  Those decisions are made because they are not aware of the other key elements that are analyzed during the insurance quote process.  Writing this article I hope to get the information out to the general public so they can learn what they can actually do to lower their car insurance policy without jeopardizing their auto coverage.

First, let’s identify the 11 key factors that absolutely determine your auto insurance rates and also find out the reasoning behind them.  The determining factors are split into 3 basic categories by Demographic Factors, Car Related Factors and Personal Driving Habits and Usage.  The 11 factors are as follows:


  • Age and Gender
  • Marital Status
  • Credit Score
  • Career Profession
  • Where you Live


  • Safety Rating for Vehicle
  • Size and Type of Vehicle
  • How Old is the Vehicle
  • How Likely is the Vehicle to be Vandalized or Stolen


  • History of Driver
  • Driving Activity

Let’s start with Age and Gender.  This is one factor that I did know about I’m sure just like the rest of us when we went to pay for our car insurance when we bought our first car at a much younger age.  I remember thinking at the time that it just wasn’t fair that I had to pay so much more on my premium simply because I was young.  Then I realized that because I was a female, I got off a lot better than my male younger friends.  car insurance las vegasThe poor guys really got it bad and some couldn’t even afford to drive because of the high rates.  Top it off with a speeding ticket or accident and they were all washed up.  What I didn’t realize is that age goes into play as we get older as well.  An older male will have less premiums than an older women just because statistics prove older women are more prone to get into fender benders than an older man.  I say that’s just pay back from our youth.

Marital Status is very important especially for the male driver.  It is proven that married people tend to get into much less accidents than those that are not married.  If a male gets married and they have not had any tickets or accidents, they can see their auto insurance rates cut nearly in half.  That’s a substantial savings for insurance las vegas

Your actual credit score determines your premiums as well.  It really doesn’t seem like a fair reason but the lower your credit score, the more your car insurance premiums become.  I still can’t get a fair explanation or rap my head around that factor.

I can surely understand that what you do for a living would be a determining factor in your car insurance premiums.  For instance, if you are a delivery driver or an outside sales person, you would tend to be traveling in your vehicle more so than someone that works from home.  That would determine your insurance rates due to the fact that you have more chances of being in an accident or receiving a moving violation because you’re out and about more so than the average driver.

Where you live and what zip code you reside in is crucial for the insurance companies as they see profound areas where there are much more auto vehicle accidents than other areas.  Clark County and especially Las Vegas is a city that has a high percentage of auto accidents compare to other areas of the United States.las-vegas-car-insurance

Now getting into the Car Related Factors and how they affect your rates makes a lot of sense as well.  If your vehicle has a low safety rating, that can make your premiums higher as there is a higher chance that you could be injured and therefore create medical fees that a person might not incur if they were in a vehicle with a higher safety rating.

Obviously the size and type of vehicle would be a determining factor again going back to your likelihood of getting injured in an accident.

How old the vehicle is would be something that may lower your insurance rates as the vehicle would not be top dollar to replace.  There are even insurance companies that only provide auto insurance to vehicles over 20 years old in Nevada as they are known as classic cars and fall into a special category for insurance purposes.

Is the vehicle a show car or one that is most likely to be vandalized or stolen?  Some models of cars are just more desirable to be stolen than others and therefore the rates are higher.  This is definitely something to look into before you purchase your car.

And finally the obvious, your personal driving habits and how much you drive.  These are major determining factors when it comes to your insurance premiums.  Insurance companies look at any previous tickets or accidents and if you’ve made any insurance claims in the past.  The theory on that is if you have already made an insurance claim or if you’ve been in an accident or received moving violations that you will most likely do those things again.  Some insurance companies simply will refuse to insure drivers that have poor records or past automobile claims as they determine they are just too much of a risk.

Driving Activity is a major issue when it comes to basing your premiums.  The distance that you travel for work or while you are at work will come into play as insurance companies simply determine that the more you are on the road the more likely it will be that you get into an accident.  Insurance companies also look at how secure the car is stored while not in use.  An automobile that is stored in a garage is often given much lower rates than one that is parked out in the public area.

With that being said, these are definitely key factors that should be looked into so that you can achieve lower auto insurance premiums.  I know that I’m going to be looking into several of these factors to try and lower my premiums for sure.

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