Car Automotive

Posts Tagged ‘insurer’s rates’

The price you are quoted for auto coverage depends not only on the insurer’s
rates but also on your driving record, where you live, and the kind of car you wish to insure. Your gender and marital status also affect your premium because women and married people are statistically less likely to have accidents than men and singles. Your price will be quite low if you have never had an accident, live in a quiet suburb, and drive a modest sedan. On the other hand, expect to pay a high premium if you have a history of collisions, you live in a high-crime area, and you own a sports car or luxury sedan. Many companies will not even insure certain cars at any price.

Before you commit to a company, check the claim procedure. Make sure that
the firm has claims adjusters near your home who can examine your car, assess the damage, and process your claim quickly and efficiently. Also inquire whether your rates will soar or the company will drop you altogether if you file a claim. Some companies take such a drastic step after only one claim—even if the accident was not your fault. It is better to work with a company a bit more understanding.

If, for whatever reason, you are not able to find a commercial insurance company that will issue you a policy at a reasonable cost or that will issue a policy at all, you may have to obtain a state-sponsored insurance plan. Unfortunately, because these plans must accept everyone—no matter what the risk—their premiums are far higher than those under commercial policies. Your state’s plan might be called a joint underwriting association (JUA) or an assigned-risk plan. But whatever  its name, it is far less preferable than qualifying for coverage with a private insurance company.