There are always rumours going around about how Edmonton auto insurance rates are decided, and many of these rumours are either inaccurate or untrue. Fortunately, Edmonton auto insurance providers are generally quite transparent about how they come up with their rates, and it’s easy to find this information if you’re willing to look for it. Also, you can get authoritative information by consulting with a licensed professional. If you’re not ready to do that, at least keep these common insurance-rate considerations in mind.
Age: People under the age of 25 are commonly required to pay higher insurance rates. This is not always the case, but it is a prominent trend. It results from the simple fact that people over the age of 25 are safer than those under 25. Rates bottom out for people in their 50s, and rates typically begin to climb back up after the age of 65.
Gender: Statistics show that women are safer drivers than men, and most Edmonton auto insurance companies take this fact into account.
Marital status: Nobody’s quite sure why this is, but married people are statistically less likely to get into accidents than unmarried individuals, and most insurance providers consider this fact.
Occupation: People with certain occupations are statistically less likely to get into accidents than others. Your insurance company may think that your occupation is either a high-risk or a low-risk one, and this may affect your insurance premiums.
Credit rating: Most insurance companies do take customers’ financial history into account. If you have a troubled credit history, this may cause your insurance premiums to go slightly higher. It isn’t a huge factor in many cases, but it is something to keep in mind.
Past accidents: If you’ve been in one or two accidents that weren’t your fault, it may not have any effect on your Edmonton auto insurance rate. However, if you have a pattern of accidents that continues into the recent past, your provider may read this as a sign that you’re likely to get into additional accidents in the future, and they’re likely to make your rate higher because of this.
Driving violations: If you’ve received a lot of moving violations in the past, this will likely have a large effect on your Edmonton auto insurance rate. This includes violations for driving while intoxicated, driving recklessly, or speeding. On the other hand, if you’ve never had a ticket, this can have a very positive effect on your insurance rate. Many companies are willing to forget about violations after a certain amount of time, but policies vary.
Vehicle model and safety features: Certain types of cars have higher safety rating than others, and Edmonton auto insurance companies take this into account. Meanwhile, if you have various safety features installed in your car, this can lower your rates.
Driving rate: Your insurance rate may go up or down depending upon how much you drive in a given week or month. This is why your insurance company is likely going to want to know your work schedule and how far you live from your job.
