Why Is Your Car Insurance So Expensive?

So what is car insurance really all about? The following report includes some fascinating information about car insurance--info you can use, not just the old stuff they used to tell you.

Although these days it's graceful easy to arrange your car insurance online, comparing quotes at the click of a button and paying by credit card for instant cover, one ever present difficulty still remains: the high cost of insurance policies. The fact that having car insurance in place is both a legal must again a sensible idea doesn't detract from the annoyance of having to pay what seems to be an exorbitant sum, and most of us would jump at the chance of reducing the bill.

To do this we wish to know what factors insurance companies use when deciding how much our premiums leave be.

Perhaps the most important influence on the level of your premium is your own history as a driver. If you've a history of having accidents, then naturally you're a higher risk to the insurer and so they'll charge you more. Worse, if you've been convicted of a motoring offence such as speeding or driving while under the influence, since your insurance will cost you even more - especially if your licence was self-effacing.

On the plus side, a history containing no black marks such as accidents will result in cheaper insurance as you build up a 'no claims' discount over the years.

The next most important factor is what kind of car you're trying to insure. Unquestionably, more expensive cars will cost more to replace, and so the insurance will appraisal you more too. This isn't the whole story though, as other features such as engine size, the availability of cheap spares, and the difficulty of repair leave have an prerogative too. Finally, some models of car are well avowed for being easier to division into or steal than others - the insurance companies are together bright of this and will adjust their quotes accordingly.

Most of this information comes straight from the car insurance pros. Careful reading to the end virtually guarantees that you'll know what they know.

How you use your car will also affect the price you pay for cover. If you rarely drive and have a downcast annual mileage, then your premiums can be cut as you're on the road for less time, and then have less chance of needing to make a claim. City drivers may also have to pay more compared to those who drive in quieter areas.

Where you keep your car is important too - if you have a secure parking area, preferably one that keeps your vehicle out of sight and under cover, therefrom your risk is lowered, as will be your premiums. Cars that are regularly parked at the roadside are at a higher risk of being stolen or involved in collisions, and so will be more expensive to insure.

One final point to cover is that of how attractive your car is to thieves, and not just in the obvious journey of how desirable your vehicle is! An of value car with a good security configuration including an alarm and window etching etcetera will be more of a hassle for criminals to profit from, and so is less likely to be stolen than a cheaper car with little or no security. Also, a car featuring plenty of gadgets such as an expensive audio system or satellite navigation will attract greater interest from potential thieves.

So as we can see, even though car insurance is an expensive business, it's not always as simple for it seems, besides by looking at what insurers want in a 'perfect' customer, you may be able to drive down your premiums.

Knowing enough about car insurance to make solid, informed choices cuts down on the fear factor. If you apply what you've just learned about car insurance, you should have nothing to worry about.