Rent Rather Than Own: People who rent a home, on average, pay six percent more for auto insurance than those who own their home. Ask your coverage provider about this, and maybe go elsewhere if they practice this.
Poor Crash Test Results: If the make and model of your car suffers more damage in a crash than others according to crash tests, then you could be charged a higher insurance rate. Check which cars perform well in crash tests before buying.
Long Work Commute: The long commute between work and home raises your odds of an accident or encountering hazardous conditions, and this can increase your insurance rate. Find work closer to home or carpool to save money.
Thieves Love It: If your model is one that thieves love stealing, or even if they like lifting certain parts from the car, your insurance rate will be hiked. Check which cars are at most risk before buying.
Bad Credit: Some insurance companies use your personal credit score to determine your insurance premium. They feel someone with good credit won’t file too many claims. Try and make all payments on time.
Expensive Repairs: Vehicles that are more expensive to repair cost more to insure. It could be fuel-efficient and very safe, but if service and parts are expensive, prepare to shell out more to cover it.
Home Location: If you live in an area that has a high crime rate, or a high accident rate, or even a place known to have more reckless drivers, your insurance costs will increase. It may help to park your car in a locked garage.
Teenagers: If you list a teenage driver on your policy, your premium will definitely be hiked. Teenage drivers are more involved in accidents than anyone else as they lack the skills and experience.
No Bundles: Some insurance companies offer discounts if you buy home and auto insurance from them as a bundle. Some offer customer loyalty discounts to the tune of 25%.
No College Degree: This sounds unfair, but some auto insurance companies charge higher rates if you did not graduate from college. In some cases, the increase was even 45%. Professionals with degrees are offered preferred auto policy rates.