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What affects your car insurance premiums

There are factors that affect your car insurance premiums.

Here we will give you a breakdown of them and a little bit of information on each one.

Age and gender of the driver

Some age groups are statistically more likely to have an accident than others. Car insurance premiums are generally higher for groups of people who are statistically more likely to need to claim from their insurance.

Driving History

Insurance companies generally reward those who do not make claims on their car insurance with a no claims discount (NCD) which means the less you claim the less you potentially pay for your car insurance. If you make a claim then your no claims discount will potentially be affected. If you change insurance provider, you can sometimes take your NCD with you to the new insurer. If you incur penalties on your licence then your premium may also be affected.

Where you live

Your post code can affect your car insurance premium either positively or negatively. If you live in a neighbourhood where statistics show your car is more likely to be broken into or vandalised this can make your car insurance policy more expensive. This is simply because the risk to your car is higher, therefore the likelihood of you making a claim is higher and that makes your premium higher as well.

Make and Model of Your Car

The more valuable your car the more repairs and replacement parts will generally cost and in turn this could make your car insurance premium more expensive. Small cars with low fuel consumption are in general the cheapest cars to insure, whereas high performance or modified cars are more expensive to insure properly.

Other Factors

There are a lot of other factors that affect your car insurance rates including your annual mileage, how you use your car, and if you have additional drivers on your policy.