Why Your Auto Insurance Rates Might Seem High

Find out why your car insurance seems so expensive.Why Your Auto Insurance Rates Might Seem High

Do your auto insurance rates seem to be on the higher side? If so, there are some legitimate reasons that explain why your premiums are so expensive. Curious to learn more about this price disparity? Here are some of the reasons why your car insurance might be more expensive than other drivers’.

  • You Set a Low Deductible

Your deductible is the amount of money that you agree to pay towards car repairs before your auto insurance kick in. For instance, if you set a deductible for $500 and get into a car accident, you would have to pay this $500 before getting access to your insurance coverage. It’s important to understand that your deductible and premium have an inverse relationship. This means that the lower your deductible is, the higher your premiums will be. If you want to reduce your auto insurance rates, consider raising your deductible.

  • You Drive a Specialty Vehicle

If you drive a high-performance or specialty vehicle, you should expect your insurance rates to be higher than drivers who own standard vehicles. This difference in premiums is because specialty vehicles often require special parts, special services, and have higher repair costs than regular cars. So, if you are the proud owner of a fancy sports car, you will also be on the hook for higher insurance costs.

  • You Have a Bad Driving Record

Finally, if you have a history of receiving traffic violations or filing insurance claims, you will be considered a reckless driver. Because you are riskier to insure, you will have higher insurance rates. If you want to get access to lower insurance premiums, focus your efforts on keeping your driving record clean. As time goes on, you should expect to see your insurance rates drop.

These are some of the reasons why your auto insurance seems so expensive.  Do you have other questions regarding your auto insurance?  Turn to the professionals at Miller Carlisle Insurance Services.  Our dedicated team is ready to assist you with all your insurance needs.  Contact us to get started today.