Factors Car Insurance Companies Consider and How They Affect Car Insurance Rates

You own a car, and you know that the next step you should do is to get car insurance. The most often asked questions are: "What must you look into when getting insurance?", "How will you know which type of insurance you should get?" And of course, "How can I get cheap car insurance?"

To answer those questions, you should know what the car insurance companies look for in customers, because ultimately, it is the company that decides whether to give you insurance or not.

Insurance companies actually look into several factors when people apply for insurance. For one, gender is a factor that may determine how low or expensive you must pay. Females are generally given more favor over males. This is because according to driving records kept by the companies as well as general surveys; women are less likely to overtake, over speed or drive drunk. Women are also more obedient to traffic rules and signs. Simply put, women are more careful drivers than men. And so, women pay lower insurance rates than their counterparts.

Another factor of significance to companies is the driver's age. Again, based on records of companies, there is a certain age group, members of which companies deem to be safer drivers than the rest. This specific age group, aged 40 to 50 years of age are considered to be the safe drivers. This is because they are deemed to be matured, unlike teens, and more physically adept than those with ages ranging from 50 years and above. The implication of this is that you would be more hard pressed to get cheaper car insurance for those not belonging to this "safe drivers" group.

Also of utmost importance to insurance companies is the driver's driving history. One who has had bumped fenders and speeding tickets to his or her name, or worse - accidents, will likely pay higher rates than one who has a clean record.

And of course, the vehicle itself is something companies never miss. Older models often entail cheaper rates than recent models. Newer models, however, most often are the ones with the necessary anti-theft and safety devices that older models do not have. You could actually get discounts from such devices, and so it would be wise to fit your vehicle with such devices.

Once you understand these concepts, it will be quite easy to get cheap car insurance. You should then have no problem taking these to advantage in getting the best insurance for your vehicle.