Sandusky, Ohio
2507 Milan Rd.
Sandusky, OH 44870
(419) 626-5580

5 Factors That Determine Your Car Insurance Rate January 18, 2019

Sandusky, Erie
5 Factors That Determine Your Car Insurance Rate, Sandusky, Ohio

Car insurance premiums can vary greatly from one driver to the next. This is because insurance providers base their calculations on a wide range of factors that are used to assess how likely someone is to file a claim. Thus, your level of risk will be indicated by the price you pay for coverage. Here are some of the most common elements that influence policy rates.

How Car Insurance Costs Are Calculated

1. Driving Record 

The fewer traffic tickets and accidents that show up on your driving record, the lower your car insurance bill will be. Providers consider those with a clean record to be less risky to insure than drivers who have a history of getting citations and causing collisions. Thus, you will be rewarded with better rates for obeying traffic laws and being extra cautious when behind the wheel.

2. Type of Vehicle 

car insuranceThe make, model, and year of the vehicle you drive will all affect the price you pay for car insurance. Generally, the more expensive your vehicle is to repair or replace, the more insurance companies will charge you to mitigate their loss in the event of a claim. Also, a car with high safety ratings and low potential for theft will yield better rates.

3. Location 

Drivers who live in a city where the roads are regularly congested will have a higher car insurance premium than those who live in rural areas. More traffic means there is a greater chance of getting into an accident. Additionally, if you live in an area that is prone to severe weather or has a problem with stolen or vandalized vehicles, your premium will reflect this. 

4. Amount of Coverage & Deductible 

Though you’re only required to carry liability coverage, you may consider adding comprehensive, collision, uninsured/underinsured motorist, and personal injury protection to your policy to ensure you’re sufficiently covered. You can expect your rates to rise with the increased protection. The deductible you set will also have an impact on what you pay. Higher deductibles will lower the premium and vice versa.

5. Credit Rating

Many insurance companies also use consumer credit ratings to determine coverage costs. Credit scores are considered a good indication of how responsible a person is, as well as how risky they are to insure. Generally, someone with a poor rating will be charged more than a driver who has managed their credit well. 


Understanding how your car insurance costs are calculated will give you valuable perspective when shopping for coverage and put you in a better position to save money. Whether you’re looking for a new policy or are interested in seeing if you can get a lower quote than what you currently pay, the professionals at Firelands Insurance Agency can help you explore your options. For decades, they have assisted residents throughout Erie County, OH, in finding good deals on quality products. With their guidance, you can feel confident you’re purchasing adequate protection. Call (419) 626-5580 to request a quote for your car insurance needs.

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