Passing the driver's license exam is a big step toward being more independent because the need to rely on others for transportation is no longer necessary. However, before a new driver can take advantage of their newfound independence, a vehicle must be purchased. Even after a vehicle is purchased, driving it is illegal in most states unless the minimum liability insurance coverage is obtained. If you are ready to get insurance coverage for your vehicle, do not expect to pay the same price as your friends or loved ones. Insurance coverage is not the same price for everyone, as the price will depend on several factors pertaining to your specific situation.
1. Age Matters When Obtaining Coverage
When you begin searching for an insurance provider to cover your vehicle, expect your age to play a factor in the quoted price. If you are under a specific age, you should expect to pay more money for coverage than someone who is older than you. Insurance coverage is higher for young people because more accidents are caused by people within a certain age range. The reason is typically due to these drivers not having much driving experience and making mistakes as they get used to driving. It is also more common for young drivers to purposely drive in a negligent fashion, such as by speeding for the purpose of having fun.
2. The Sex of the Driver Is Considered
Another factor that insurance companies consider when providing coverage to drivers is their sex. Drivers who are male are more likely to cause a collision than female drivers. Male drivers are known for racing, especially if they own sports cars that are designed to reach high speeds. No matter how much a driver feels as though they have control over a vehicle, speeding increases the risk of losing control and causing an accident. Insurance companies charge male drivers higher rates because they are more likely to file a claim or cause another driver to file a claim, such as someone they collide with.
3. A Poor Driving Record Is More Costly
Insurance companies consider driving records when quoting prices, and poor driving leads to higher rates. Unpaid tickets can also affect insurance rates and cause a hike in the premium amount. Even if this is your first time getting insurance coverage for a vehicle, it is important to know how a driving record affects insurance rates. You want to maintain a good driving record after obtaining coverage to decrease the risk of your insurance premium increasing.
Contact a local car insurance agency, such as Bishop Insurance Agency, to learn more.
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