Four Keys to Understanding Car Insurance Quotes

Inflation has caused the price of everything to rise – including your car insurance premium. If you’re shopping around for new car insurance, then you must understand how to interpret car insurance quotes so you can find the best insurance provider for your budget.

Four Keys to Understanding Car Insurance Quotes

1. Quotes Are Always Changing

The first thing to know about quotes from a car insurance company is that these quotes are constantly in flux. Insurance companies look at dozens of factors to calculate quotes. For example, a quote can change from month to month based on the activity in your ZIP code, such as if there have been multiple reports of stolen or vandalized vehicles in your area.

2. Quotes Look At Your Driving History

Car insurance companies will also do some digging about your driving history. In particular, your driving record will give insurance companies a good idea about how responsible you are. If you’ve had multiple traffic violations or accidents, this could be a reason why your insurance quote is high.

3. Quotes May Rely On Your Age

Car insurance companies are also infamous for basing quotes on the age of the driver. As most people know, the premium for your car insurance may be higher if you are a younger driver, since inexperienced drivers are more likely to get into accidents.

4. Quotes Can Factor Your Car Value

Finally, quotes may factor in the value of your car. If you have a new or more expensive car, your insurance premium may be higher than if you were driving a second-hand vehicle.

Car insurance companies calculate quotes based on a variety of factors, which can include trends in your zip code, your driving history, your age, and the value of your vehicle. Understanding how these factors will impact your quote is key to finding a car insurance provider. For more information about finding the best quotes for your car insurance, contact DTRT Insurance Group today.