Due to the dramatic increase in the number of vehicles on the road, there has also been a significant rise in the number of car accidents which often result in severe damages and fatal consequences.

Free photo yellow sport car with black autotuning on the bridge.

According to WHO statistics, around 1.3 million people die every year as a result of road traffic crashes. Therefore, practicing road safety is essential to staying fully protected while behind the wheel. 

Another way to safeguard yourself as a driver is to obtain car insurance. This will provide you with financial and legal coverage against damages and injuries you, your vehicle, or other passengers sustain in an accident.

In general, all drivers are required to carry a minimum amount of auto insurance in order to drive legally. The greatest issue here is that there is no standardized amount each driver pays. This is because insurance companies take into consideration several factors that can affect the overall price of car insurance. Here is a brief list of the five most surprising ones. 

Vehicle type

The type of car you own determines your level of risk which has a direct impact on the cost of your premium. To calculate the cost of your coverage, an insurance company will look at the make, model, and year of your vehicle as well as the features it contains. Typically, the more expensive and luxurious your car is the higher your premium will be and vice versa.

For example, some of the most expensive cars to insure are luxury vehicles, sports cars, electric cars, and SUVs. The reason why the insurance rates for these vehicle types are the highest is that they have upscale features and higher repair costs. 

Age and gender

Other surprising factors that can also have an impact on your auto insurance premium are your age and gender. In general, younger drivers often pay more for their insurance policy than older drivers because they have less driving experience and are more reckless on the road, which puts them at a higher risk of getting into a car accident. 

As for gender, male drivers usually pay higher auto insurance premiums because they are more likely to speed and fail to follow the rules and laws of the road than female drivers. 

Location and parking habits

Where you live and where you frequently park your car can also affect the cost of your auto insurance. For example, if you live in a metropolitan city with busy roads, you will probably pay a higher premium because there is a greater risk of getting into an accident as opposed to if you live, drive, and park in a quieter area with less road traffic. 

In addition, if you live and work in an area that is prone to climate-related incidents, such as floods and wildfires, or has higher crime rates, you can expect to pay more on your premium. 

Driving history

Your driving history is another factor insurance companies consider when determining your auto insurance premium. This involves your overall driving experience and record, both of which can either increase or lower your insurance cost.

For example, the more driving experience you have, the lower your premium will be. However, in order to be able to reduce your costs, you also need to have a clean driving record with fewer or preferably no traffic tickets, accidents, and other infractions.

Otherwise, those with poor driving records will pay higher premiums and may even have their policies canceled. 

Car modifications

Another surprising factor that can affect your car insurance prices is your car modifications. These can be all kinds of features and add-ons you will install to make your vehicle more efficient and appealing, and improve its functionality.

However, the problem with these modifications is that some of them can put you at a higher risk of car accidents or theft, which will directly impact your insurance premium. For example, if you tune a turbo engine or install spoilers, it will make your car go faster, which means there is a greater chance of you getting into an accident.

Final thoughts

When shopping for car insurance, you should know that insurance companies take many factors into consideration to determine the price of your premium. From your age and gender to the type of features your vehicle has, there are many surprising things that can positively or negatively influence your provider’s decision on how much your policy will cost.

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