What Affects Car Insurance Prices the Most?

Living in Pomona, CA, most people need a car. There are a lot of things that will help you determine what car you want and ultimately purchase, but too many people overlook insurance when they make these decisions. You can think of your premium as an extension of your car payment. Fortunately, THINK Insurance & Financial Services has this list of things that impact insurance rates. When you understand how prices are set, you have more control over how much you have to pay.

Financial Risk

Insurance, in general, is built on the concept of risk assessment. There are a lot of things that make a particular car policy higher or lower risk. Where you live, even down to the exact block in Pomona, CA, impacts risk (rate of accidents and theft are calculated). Your age, gender, and job all play a role in assessing your risk of causing an accident. Topping all of this is your credit score. It can be frustrating, but it plays a big role in determining your rates.

Not all of this is easily controlled. If you’re in an accident-prone neighborhood, you might have to look at other ways to keep your rates down. That’s where the second assessment comes into play.

The Car

The car itself has more say in the cost of your policy than anything else. Insuring a Lamborghini is more expensive than insuring a used Civic, even if you only purchase minimum liability. The vehicle’s safety rating, seating capacity, age and theft protection all add into these calculations. When you’re thinking about insurance, the most control you have over the rates is in your vehicle selection.

There are other things that will change your prices in Pomona, CA, but they hold less impact than financial risk and vehicle choice. Still, if you have any questions, you can always reach out to THINK Insurance & Financial Services.