Insurers calculate your auto insurance premiums using a variety of factors. Some of these are entirely out of your control, while others—if you’re diligent—you can change. In any case, you might be surprised to learn what factors go into the decision.

5 Factors that Influence Your Auto Insurance Premium

1. Your Car

The make, model, and year of your car are possibly the biggest contributor. Newer, more expensive vehicles cost more to repair and replace than older, cheaper vehicles, so your insurer runs a bigger risk covering a late-model luxury sedan over a decades-old compact car.

2. Your Driving History

Another crucial factor is your record of driving safety. Have you been cited several times for speeding? Have you filed accident claims in the past? If so, you'll pay more for auto insurance than if your driving record is spotless. Even a single fender-bender can have a big effect.

3. Your Location

City dwellers typically pay more than people who live in rural areas. It’s a numbers game: The more traffic there is, the greater the chance of being in an accident. Also, the risk of car theft is significantly higher in cities. If you live near a particularly hazardous intersection or a dangerous curve where a lot of wrecks occur, you will likely see a bump in your rates.

4. Your Personal Characteristics

All else being equal, men usually pay more than women. Single folks pay more than married couples, and teenagers pay the most, in part because of their inexperience behind the wheel.

5. Your Credit History

Insurers seem to have discovered a correlation between irresponsible credit behavior and risky driving habits on the road. If you have a history of late payments, numerous recent credit checks, charge-offs, or bankruptcy, you'll almost certainly pay more for auto insurance than if your credit history is clean.

Even though it's difficult to make immediate changes to the factors above, you might still be able to lower your auto insurance premiums by signing with a different insurer. To request an insurance quote and see, contact High Rock Insurance Agency in Lexington, NC. They offer 24/7 customer service and specialize in auto, life, business, and homeowners insurance. Visit their website to request an online quote or call (336) 236-9022 to speak to an experienced insurance agent.