, how much does car insurance cost then you are in the right place. This article has been written to give you an understanding of what factors will determine how much you pay for your policy and what you can do to reduce the overall cost.
There is no denying that owning and running a car is far more expensive than at any time in the recent past. It is not just the cost of insurance that has gone up; gasoline, tax, and servicing can now hardly be called cheap. Without insurance we risk not only being prosecuted by the state for a criminal act we would also have to pay out a massive sum of money should we be involved in an accident.
The cost of a car insurance policy is calculated using simple mathematical principles. Though the most experienced and safe drivers can offer get twelve month policies for less than two to three hundred dollars, the bulk of drivers are still paying upwards of a thousand bucks for their premiums.
So how exactly is the amount that would be required to pay calculated? Well there are a host of factors that would need to be considered. If you have many years experience of driving without making a single claim then the quotes provided by the main insurance companies would be far lower than for a driver who has only recently acquired their license.
Another important consideration is the deductible chosen; the higher the deductible the lower the cost of the premium. For example, if you were in an accident that involved damage totaling three thousand bucks and had a deductible of five hundred dollars then the insurer would need to pay out two thousand five hundred bucks. Only opt for a higher deductible if you are sure you can pay out in the case of an unwanted situation arising.
Your area of residence will also play an important role in the cost of your car insurance. If you live in a built up area prone to theft and vandalism then the policy is going to be a lot more than for those people that live in relatively peaceful and crime free rural locations. Even where you keep your vehicle when not in use will be taken into consideration by the insurer. Keeping your car locked up securely at night in a garage should lower the cost when compared to parking on the street each night.