Cars, Transportation

Car Insurance Cost

How much it Cost for Car Insurance?

 

The average cost of car insurance comes to around $550 to $1600 per year. Insurance companies offer flexibility to pay premium on yearly, quarterly, monthly basis so you can select the one that best fits your pocket. Car insurance costs varies broadly based on different evaluation points. We have gone through lots of data about various user-profiles and found costs from major car insurance firms. Based on the analysis we came to know that there are multiple factors like age of driver, gender, place, profession and vehicle type which influence car insurance premiums. So, let’s know more about it.

Factors of Car Insurance Cost

Costs by Company:  

Which car insurance firms are the best for you is the main factor. If we compare here some of the best insurance firms’ premium policies then we came to know that there is a wide difference between their policies. Cost between different companies range from as low as $1200 to as high as $2500 per year. Also remember that while offering a premium to you, all the firms are considering your driving history too.

Costs by Insurance Coverage:

Costs depend on what you have covered in your insurance. Generally, vehicle body damage insurance costs $50,000 to $100,000 and for property damage by accident, it’s $50,000. Certainly, the more limited coverage you have, the smaller your policy will be. But it’s advised to have your liability coverage as large as feasible to guarantee your assets are guarded.

Costs by Driver Age:

Age is a significant part of car insurance premiums as your age shows how dangerous a driver you can be to your insurance firm. Teenage drivers (16-19 Years) have to pay high cost around $400 per month. But it reduces to around $250 once they become 20 years old. Drivers of age range 40 and 60, the normal variations in premium are only $45. But the driver’s age 50 to 59 have to pay very less car insurance. So apart from teenagers and old drivers, age doesn’t have a significant influence on the normal cost of car insurance.

Costs by Driving Record:

Any kind of traffic rule violation either small or big will have an impact on your car insurance. For a small accident, the normal price increase in 2019 was around $380 for a 6-month policy or around $750 per year.

Costs by Gender:

Many people think car insurance costs differ hugely between men and women, but it’s a very minor point when you see at the general view. Generally, Teenage (16-19 Years) men spend about $700 more per year than do women of the same age. Some of the states like Pennsylvania, Massachusetts, Hawaii, and Californiahave no variation in car insurance premiums for male and female. In other states, there is less than a 1% variance in car insurance premiums only.

Costs by Location:

Car insurance is fixed as per state wise and valued by zip code. Your specific location can have a significant impact on your insurance. Like in the Midwest, Michigan is costly, but the more affordable car insurance given at Ohio costs $523, in Indiana costs $582, etc.

How to Save Money on Car Insurance?

First of all, go through 5-6 companies to know the costs from various insurance firms and compare them to find the most affordable from them. You can also check your coverage level of insurance to reduce the rate. So, go through all the above points and decide which option is best for you. I hope you find the best car insurance as per your needs!