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5 Ways That Drivers Unknowingly Increase Their Car Insurance Rates

It is important for drivers to know what things will make their car insurance premiums go up. A lot of people make decisions and then do not understand why their car insurance premiums are much higher than they were six months ago. Here are several ways that you could be causing your car insurance premiums to increase without even knowing it.

The first way is by changing jobs and having a longer commute. In this economy, many people have lost their jobs so they are quickly having to find jobs to make money regardless of their locations. The longer that you are in your car driving it the more money you will have to pay for your insurance coverage so even adding ten minutes extra to your commute can cost you a lot of money in premiums.

The second way is by buying a new car. The longer you hold onto a vehicle the less money you will pay for your car insurance coverage. This is due to the fact that cars depreciate in value as soon as they leave the lot.  

Make sure that the model of car that you buy is not one that is riskier to insure. For example, Civics are often stolen by thieves because they are easy to strip down for parts. Most people think that if they avoid buying cars that can attain high speeds that their car insurance premiums will be very low but this is not the case. The number of thefts that occur with your model of vehicle also plays a huge role in your premium rates.

The third way is by moving to a new location. If you say move to the next town or city over then you could be increasing your insurance rates. This is because each separate geographical location has its own crime rate which car insurers will use to assess the risk that is posed by having a vehicle parked there.

The fourth way is by allowing your coverage to lapse. If you have allowed your coverage to lapse then this throws up red flags to your car insurance company. If you have allowed your coverage to be cancelled and did not get insured again for a month or more then your mistake will cost you a lot of money down the road.
This is due to the fact that insurance companies want to protect them financially from drivers who may cancel their insurance policies to save money and just keep the insurance identification card.

The fifth way is to get some traffic tickets. If you are caught speeding or commit any other traffic offense then you will see much higher premium rates because you are exhibiting risky behaviors that could damage or total the car that is being insured which insurers do not like.