Oconto Falls, Wisconsin
237 N Main St
Oconto Falls, WI 54154
(920) 848-2341
Senn Hometown Insurance, we are your insurance place. Since 1989, our team has served Oconto Falls and the surrounding communities. From personal to life, business, farm and more, rely on us for all your insurance needs. We represent a carefully selected group of financially sound, reputable carriers.

Auto Insurance and Your Income—How it Impacts Your Premium May 15, 2017

Oconto Falls, Oconto
Auto Insurance and Your Income—How it Impacts Your Premium , Oconto Falls, Wisconsin

Most drivers assume that their auto insurance rates are based on their driving record. If you’ve been a safe driver for multiple years in a row, it makes sense that the insurance provider would reward that. However, calculating your premium is more complicated than you might imagine. According to the team at Senn Hometown Insurance Agency of Oconto Falls and Coleman, WI, carriers take other financial factors into consideration, including how much you earn and where you live.

How Your Income Affects Your Rate

When you want to save money, you might be tempted to change your insurance policy; but if you don’t see the price reduction you hoped for, you’re not alone. As it turns out, many insurance providers place more value on your overall earned income than your driving record. This is because many auto insurance companies believe that a lower income individual is more likely to file a claim than someone with a higher annual income, even if the wealthier person has a poor driving record.

auto insurance Oconto Falls WINot only do insurance providers examine your driving record, but they also consider where you live, where your car will be kept, and the overall crime rate associated with those areas. Unfortunately, many lower income drivers live in less desirable parts of town where crime rates and the risk of damage to their vehicle are higher than they would be in a wealthier area. By assessing a higher premium on these drivers, the insurance company is hedging against potential loss, however unfair it may be to the driver.

How You Can Get the Best Rate

Regardless of your income, getting the best rate on your auto insurance should always be your top priority. Working with an experienced insurance agent gives you access to the widest range of plans that fit into your budget. Agents are familiar the industry’s best providers and will work to get you the most comprehensive and affordable coverage.

Whether you’re looking to switch to a different auto insurance carrier or want to save money by bundling with your homeowner’s insurance, the team at Senn Hometown Insurance Agency can help you find the right coverage for a fair price. Learn more about the providers they work with by visiting their website. Call (920) 846-2341 to schedule an appointment.