What drives the price on Car Insurance?
This is a common question we hear from our customers. Insurance companies use so many different factors to determine rate, gone are the days of only looking at the tickets and accidents. Here is a list of a few rating variables that help determine Auto insurance premiums:

  1. Driving record- Of course, this is still a big factor in determining rates. Any tickets or accidents will cause higher premiums and also will make a driver ineligible for a lot of discounts as well.
  2. Age- We all know young drivers are expensive to insure, but premiums can also increase once drivers get past 60 years old as well. The best thing to do is to take advantage of good student discounts and senior defensive driving classes.
  3. Type of car- Some cars are most expensive to insure than others, insurance companies look at how likely the car is to be stolen, it’s age, how easy it is to repair/find replacement parts, and safety features.
  4. Location-Where you live plays a big role in the rate of car insurance. Accident statistics and crime rates are different from city to city.
  5. Usage- Statistics also show driving to and from work increases the risk of accidents more than someone who is retired and only drives around town for errands. With more miles to work insurance becomes a bit more expensive.
  6. Credit- This can have an effect on your insurance rates.
  7. Coverage- Of course a car with liability only is going to be less expensive than a full coverage car.


The good news is, Cornerstone Insurance Agency is always checking to make sure you are getting the best value on your entire personal insurance package. As always, feel free to call and discuss any questions you might have!

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