Life Insurance, Motor Insurance

Factors That Influence Auto Insurance

Finding the right car insurance plan for your beloved car has traditionally been a very time-consuming process. Now, however, thanks to many insurance companies and insurance comparison tools, you can get a deal in minutes.

So, you are on a roll to renew your best-picked car insurance policy, but you see a price shift – wonder why is that so? Well, if the renewal quote for your auto insurance is higher than expected, it may be because of the following factors that have influenced your insurance policy.


Insurance premiums are always relatively higher for drivers under the age of 20 years and over the age of 75. If you have recently gotten your high school diploma, celebrated a milestone, or crossed your golden jubilee birthday, chances are you may have to pay for an increased auto insurance price.

Marital Status

Statistics suggest that drivers who are married are less likely to run into an accident. If you recently separated legally from a long-term partner or got divorced, this may affect the price of your car insurance.

New Car

Naturally, the pricier the car, the higher its insurance will be. Individuals who recently got their vehicles upgraded should expect insurance prices climbing up the scale also.

Credit Score

Often insurance companies check your credit score or credit history to determine how reliable you are. If you currently have any outstanding debts or your credit score isn’t in the best of figures, this may affect your car insurance premium also.


If you have moved to a new house, this may cause your car insurance premium to go up for quite a number of reasons. For example, your new place is farther away from your office, while this may be not that of a big deal, an insurance company will look at it as a longer commute, which means a greater chance of you getting into an accident. You may have also moved into the locality where there’s no secure parking, hence, a more increased insurance rate.

Driving record

Drivers who have a history of getting into driving accidents frequently or have unpaid parking tickets are seen as higher risks to the insurance companies. If you have recently been involved in an accident, you should expect this encounter to influence your renewal quote from your car insurance company.

What to do if you receive a surprisingly big car insurance quote?

Regardless of whether you are happy with your motor insurance quotes from your favorite insurance company, you should always compare it with other insurance providers, to ensure that you are closing the best and most affordable deal possible.