If you drive a car and have ever moved to a different city, state or neighborhood, you may have noticed that the change of address can have an impact on your car insurance rate. Sometimes moving works in your favor, meaning you can get cheaper insurance more easily. Other times it isn't so great, as moving from one zip code to another can add as much as $1,000 to the cost of your premium. But why does this happen? How does your address have such a big impact on the cost of your car insurance? Here are a few factors that insurance companies take in to consideration when determining your rate when you move:
Your Community and Neighbors
Your address can affect your insurance rate based on the area of town you live in. Are there high rates of crime or is it super safe? If you live in a neighborhood where theft and auto break-ins are more common, you will be paying more for insurance. If you live in a gated community or somewhere with a great neighborhood watch that keeps crime rates low you will save money on insurance.
Where Do You Park Your Car at Night?
The features of your home can affect your insurance rates as well. If you have a driveway, covered parking or most importantly a garage you will see your rates decrease. This is because your car is better protected from theft or weather damage if it is in off the street or under cover. Conversely, if you have to park on the street then your car is at a higher risk for crime or weather damage and your rates will reflect that risk.
Traffic Patterns and Road Conditions
Because most auto wrecks occur within just a few miles of someone's home, the roads in your neighborhood have a strong bearing on your auto insurance rates. If you live in a part of town that is very busy with many big roads and major intersections, or in a neighborhood with a high incidence of accidents, then you will end up with a higher premium. Check the statistics of your neighborhood before you move so find out how it will affect your rates.
How Many Miles You Drive
The distance you drive each day is a major factor in determining your insurance rates. If you have to commute a long distance during rush hour each day, your chances of being in an accident or receiving a moving violation only increase. This means higher rates. On the other hand, if you don't drive much or live in an area where you can and will walk or use public transportation, you will receive discounts on your policy usually. Living closer to your job and school are always a good idea and will always save you some money.
Your home address will affect your auto insurance rate, either for the good or the bad. If you are considering a move, think about these things and call your insurance company to see how your premium might change. The most important things that influence your insurance rate is your safe driving - so above all else, practice safe driving habits each time you are in your car. This way, you'll always be saving money on insurance.
Your Community and Neighbors
Your address can affect your insurance rate based on the area of town you live in. Are there high rates of crime or is it super safe? If you live in a neighborhood where theft and auto break-ins are more common, you will be paying more for insurance. If you live in a gated community or somewhere with a great neighborhood watch that keeps crime rates low you will save money on insurance.
Where Do You Park Your Car at Night?
The features of your home can affect your insurance rates as well. If you have a driveway, covered parking or most importantly a garage you will see your rates decrease. This is because your car is better protected from theft or weather damage if it is in off the street or under cover. Conversely, if you have to park on the street then your car is at a higher risk for crime or weather damage and your rates will reflect that risk.
Traffic Patterns and Road Conditions
Because most auto wrecks occur within just a few miles of someone's home, the roads in your neighborhood have a strong bearing on your auto insurance rates. If you live in a part of town that is very busy with many big roads and major intersections, or in a neighborhood with a high incidence of accidents, then you will end up with a higher premium. Check the statistics of your neighborhood before you move so find out how it will affect your rates.
How Many Miles You Drive
The distance you drive each day is a major factor in determining your insurance rates. If you have to commute a long distance during rush hour each day, your chances of being in an accident or receiving a moving violation only increase. This means higher rates. On the other hand, if you don't drive much or live in an area where you can and will walk or use public transportation, you will receive discounts on your policy usually. Living closer to your job and school are always a good idea and will always save you some money.
Your home address will affect your auto insurance rate, either for the good or the bad. If you are considering a move, think about these things and call your insurance company to see how your premium might change. The most important things that influence your insurance rate is your safe driving - so above all else, practice safe driving habits each time you are in your car. This way, you'll always be saving money on insurance.
About the Author:
Want to find out more about Texas auto insurance, or do you need online auto insurance? For more information visit Al Boenker Insurance at www.thanksal.com.
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