If you feel like you are overpaying for your auto insurance, that might be due to the company your insurance is through, but you might also be paying more if you are young and have a bad driving record. If you want to know when your car rates will drop, here are some of the factors that might be causing it to be higher than it should be right now.
The Company You Use
First of all, insurance companies all charge different rates even though most base their rates on the same factors. The only way you will know if you are paying too much because of the company you have is to contact other companies and ask for auto insurance quotes. If you do this and find that other companies offer much lower rates, you could switch to a new company to get a lower rate.
Your age plays a big role in insurance rates too: generally, people pay more for insurance when they are younger than 25. At the age of 25, rates typically start to decline, as long as a person has been driving since the age of 16 and has proven that they are not a huge risk to the insurance company.
Your Driving Record
To prove you are not a big risk to your insurance company, you will need to focus on keeping a clean driving record, which means you should avoid accidents and tickets. Each time you get a traffic violation citation, it could affect your record and your insurance rates. If you cause an accident to occur, this too can affect your record. Most citations and accidents drop off a person's driving record after around three years, though, so you do not need to worry about these types of things forever.
The Type of Car You Have
You should also realize that the car you own might be causing your rates to be higher than you would like. Some cars always cost more to insure than others. For example, insuring a new sports car is likely to be much more expensive than insuring an older sedan or minivan. The amount of insurance you have for your vehicle will also affect the rates you pay.
If you want to save the most money on auto insurance, find a good insurance company that offers competitive rates, keep your record clear, and choose the right type of vehicle.