Auto insurance coverage is a necessary fact of life. Unfortunately, you cannot drive legally without it. You are required by state law to maintain at least a minimum amount of auto insurance coverage, sometimes referred to as the state minimum automobile insurance coverage requirement, liability coverage, or personal injury protection coverage, depending upon your state of legal residence. Regardless, there are severe consequences for driving without the proper auto insurance coverage.
Some of these penalties include a government fine, a suspended driver’s license, a revoked driver’s, time served in jail, and several others. Moreover, there are addition disadvantages to extended driving without proper auto insurance that can occur and only worsen over time. Therefore, it is of the utmost importance that you are careful to always maintain some sort of auto insurance coverage on your registered vehicle.
Auto Insurance Rates
Auto insurance rates vary from company to company. Each company has its own standards, offers its own auto insurance coverage policies, determines its own services, and sets its own clientele rates. Some rates are more expensive for some people than for others for various reasons. In addition, there are several factors that affect and contribute to a driver’s rate as well. Many things determine what price your auto insurance rate will be.
One of them is your driving history. A better driving record will usually get you a discount off of your insurance rate. Conversely, if you have been in several car accidents in the past or have several points on your driving record for reckless driving or driving under the influence, then you will most likely suffer an increased auto insurance rate. The reason for this is that the auto insurance company views you as more likely to file a claim than the average driver. Therefore, they are going to charge you a higher rate than the average driver as well. Your rate will especially be higher if you have filed a claim with another auto insurance company in the past. However, there are a few things that can get you a cheaper auto insurance rate.
Auto Insurance Rates and Your Occupation
Believe it or not, your occupation can actually affect what auto insurance rate you are offered. For instance, if you are a student, this can affect your auto insurance rate. If you maintain good grades you are rewarded for this by being offered a lower auto insurance rate. The reason being that auto insurance companies have access to statistics that tend to report that a student who maintains good grades is more responsible and is, therefore, more likely to be a more responsible driver than a student with lower grades and, therefore, is less likely to become involved in a car accident and file a claim with them, his or her auto insurance company.
Likewise, this applies to other occupations as well. For instance, if you are, say, a racecar driver, then chances are your auto insurance rate is going to skyrocket because you are much more likely to be involved in a car accident than the average driver due to the nature of your occupation. You will be driving at extremely fast speeds and cutting sharp corners, along with other drivers doing the same things, and you will become much more likely to incur damages to yourself or your car and have to take advantage of the need to file a claim with your auto insurance company. Therefore, you may or may not suffer increases or receive discounts to your auto insurance rate based upon your chosen occupation. Sometimes this works in your favor and other times it does not.
How to Find an Auto Insurance Quote
The best way to find an auto insurance quote is through an automated auto insurance quote generator offered online via the Internet. This is by far the easiest and most conventional way to obtain an auto insurance quote. It is the fastest and most convenient method offered to consumers searching for auto insurance. You simply fill out one form, and you will be provided with auto insurance quotes from various companies. Employ the Free Car Insurance Rate Finder tool at the top of the page for further assistance.
Your Credit Score and Its Effect on Your Auto Insurance Rate