Car Insurance and SR22 Insurance - Cheap Auto Insurance for High Risk and Preferred Drivers SR-22 SR 22 Car Insurance low cost auto insurance affordable auto insurance

WHAT DETERMINES YOUR INSURANCE RATES?

By Tom Black
Serenity Insurance Group

Have you ever moved, changed cars or jobs, only to find that your auto insurance premium jumped? Part of that rate increase could be due to one of many factors that are used to compute your insurance costs.

Where you live-people who live in more rural, or less populated areas within the same state generally have lower insurance costs. The companies figure that being around fewer people makes your likelihood of an accident less.

YOUR AGE-statistics show that people who have more driving experience have less accidents. Young drivers and young males in particular, are many times more likely to be involved in an accident than a person with 10 or more years driving history. (If you are a student, having a good grade average can help lower your premium)

YOUR DRIVING RECORD-the companies hire actuaries who determine your chances of getting in an accident. The more tickets you have on your record, actuaries have shown the more likely you will cause a wreck. Obviously, more serious tickets like Negligent Driving, Reckless Driving, and DUI drive these statistics higher. That is why most companies that will issue an SR-22 filing have higher rates for these high risk drivers.

YOUR CREDIT HISTORY-it may be hard to understand that there is a definite relationship with your credit history and your likelihood to cause or be involved in an accident. Some very scientific men have been able to show a direct correlation between your credit and your costs to an insurance carrier.

YOUR VEHICLE-Some cars or trucks cause more damage to other vehicles when involved in a collision. Some cars or trucks are just involved in more collisions. (Sports cars, hot rods, big SUV’s)

The ideal insurance risk (least likely to be in a wreck) would be a 6o year old married person, living in a farming community, who owns his own home, has no tickets, and drives a 2004 Buick LeSabre.

On the other hand, a very poor insurance risk is the 18 year old young man, living in Los Angeles, who is behind on his credit cards, has four speeding tickets and one reckless driving, and is driving a four year old Corvette.

Keep these things in mind when assessing your insurance costs.

Cheap Teenager Auto Insurance

That actually sounds like an oxymoron to most people.  As soon as teenagers begin wanting to drive a car, parents begin dreading the cost of teenage driver auto insurance.  When teens begin researching acquiring his or her own car, the problem of costly teenager insurance coverage becomes even more problematic.

Before allowing your teen age son or daughter to drive they must be of the proper age within your state, they must obtain a license or learning permit / driving permit and they must be properly trained. In the Greater Phoenix Metro Area, parents have an exciting new opportunity to help get their teenage drivers off to a good start. Driving MBA, a company headquartered in Scottsdale Arizona, provides simulator based driver training for teenagers and adults at their facilities in Scottsdale and their brand new training facility in Chandler Arizona.

Once your teen has a license or permit and the proper training the next thing that you must think about is car insurance. One of the first and most important considerations is the cost of the monthly premiums or annual insurance premium. Most insurers see teen driving group as an ultra high risk category and they charge ultra high risk premiums. This is because these companies see most teen drivers as being more reckless driving and accident-prone than adults. As a result, they charge higher premiums for auto insurance for teenagers.

Fortunately, there are ways in which you can lessen the charges for your teenager’s car insurance. These same factors might help you get a better deal on your own auto insurance in the future as well.

1. Encourage your teen to maintain a spotless driving record. It is essential that you emphasize the importance of observing traffic laws. A clean driving record for your teenager can be critical to obtaining low cost auto insurance. Encourage them to avoid speeding tickets and other such traffic violations at all costs. Being aware of their surroundings and avoiding distracted driving can minimize the incidence of accidents happening. A clean driving record will be awarded with lower premium payments.

2. Look for auto insurance with a higher deductible. The premium payment is usually less for auto insurance that carries a higher deductible. The higher the deductible, the cheaper the auto insurance rates can be.

3. The more safety features the car has, the less likely it is to fall into a higher hazard rating class. If your teen’s car has a lot of advanced safety features you may avoid vehicles require a premium for being in the higher hazard ranking class.

4. Follow any license restrictions listed on the license or permit. First time drivers may be restricted to driving with a licensed passenger, may only be allowed to drive at night or may have other restrictions, depending on the state and local regulations. Teenage drivers need to stick to the restrictions and guidelines that are specified on their licenses.

5. Get a teen only stand-alone policy. With this kind of policy, your child will be responsible for his own insurance.

As a parent, you should attempt to communicate the value of responsibility to your teenager. Make them accountable for what happens to their car and perhaps encourage them to work part-time to can pay for one-half of their premium.

After your teen is licensed and trained and you begin the hunt for cheap auto insurance, your best bet will be to contact an insurance agency with many years of experience and one that shops the rates from many different insurance companies to find your teenager and you the best low rate auto insurance coverage at the most affordable price.

Call 1-800-774-0520 right now or visit Cheap Auto Insurance online to fill out the quick quote form and see if cheap teen auto insurance is in your teen’s future.

You can also chat with an agent online or have an agent call you.