5 Momentous Occasions That Will Affect Your Auto Insurance Rates


As you pass through the many phases of life, almost all the decisions that are life-changing are also the ones that will affect your car insurance rates. Auto Insurance companies do their homework when it comes to assessing how risky the average driver is and how the decisions he makes affect his risk factor. So the decisions you make like getting married, buying a house in a new neighborhood or buying teen car insurance all contribute to how risky you look in the eyes of the insurer. Here are the top 5 momentous occasions that affect your auto insurance rates:

1. Growing up: That’s right! There is an upside to growing older. You don’t decide to grow up but we all eventually do and crossing the sacred insurance boundary of 25 years makes a difference in the world of car insurance. Individuals past the age of 25 are considered lower risk takers and so their car insurance rates go down. So that’s at least one good reason to not sing “19 till I die”.

2. Marriage: Getting married means commitment and compromise. There’s a whole new person in your life and everything about you will have to change in some way. One thing that changes the moment you say “I do” is your car insurance quote. Even if you are under 25 when you get married, your insurance rates are automatically slashed when you get hitched. Marriage shows that you have, overnight, become more responsible and want a stable lifestyle, making you a lower accident risk. That’s why car insurance companies will reduce your insurance rates when you tie that precious knot.

3. Moving to a new neighborhood: Who knew that a new neighborhood could affect your car insurance! Safer neighborhoods have a lower risk of auto theft. If you’re moving from the inner city to the suburbs, your car insurance rates will dive because of the lower risk of not just being stolen but also possible vandalism. If you live in an accident or theft prone neighborhood and aren’t looking to move for a while, you should invest in a garage or other anti-theft devices to lower your insurance premium. Also, moving to a cheaper state will definitely reduce your insurance rates.

4. Your child’s first car: Buying new car for your son or daughter who’s off to college can be a daunting task. But there are many ways to make it easier on you. You have to do your research! Since teenagers are still getting the hang of driving, their insurance rates are the highest. They are also prone to reckless driving on the road that poses a danger to other drivers and increases the chance of an accident.

One of the best ways to keep your teen’s insurance down is by making sure he/she maintains a GPA of 3.0 or above in high-school and college. Most auto insurance companies offer discounts for good students because diligence in studies shows an attitude of responsibility which makes for a safer driver.

Buying a used car is the next most sensible decision you can make because used cars always cost less to insure because their parts are cheaper and the risk of used cars being stolen is lower compared to a brand new Sports car.

5. Becoming a senior citizen: There are pros and cons of being a senior citizen. Sometimes they have to give up driving which is very hard after years of being independent. But sometimes, being an experienced driver who is in good health can work in your favor! Something as simple as taking a refresher’s driving test to certify that you are able to drive safely will help keep your insurance rates down. Additionally, senior citizens often spend very little time on the road and therefore you have to compare auto insurance rates and ask for any discount the insurance company might offer for people who drive minimally per month. As one grows older, diminishing eyesight and motor co-ordination make you a greater risk on the road and consequently your auto insurance is bound to go up to some extent.

Before you make major decisions in your life, pause and consider how they may affect your auto insurance rates and remember that there are some auto insurance companies willing to give you discounts at every momentous stage of your life. A good way to find these companies is to search online for free auto insurance quotes and tips!

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