When providing full-coverage auto insurance, insurers evaluate the buyer for the risks they pose. If someone is more likely to be involved in accidents, their premiums might be higher to account for future claims. To help you understand what goes into the underwriting process, here’s more information about what influences it

What Determines Auto Insurance Rates?

1. Credit Score

Credit scores indicate a person’s financial responsibility. When someone’s score is low, there’s a greater risk they may be irresponsible behind the wheel as well.

To raise your score, use your credit wisely. Close a few credit card accounts if you have several, and pay off as much of your loans as possible. Avoid maxing out lines of credit and pay all bills on time. 

2. Type of Car

Some cars cost more to repair and replace. Imported, high-performance vehicles, for example, can have difficult-to-find or expensive auto parts. Sports cars also encourage speeding, which increases the likelihood of accidents.

If you're on the market for a new vehicle, you can secure more affordable auto insurance by choosing a model with a high safety rating. Anti-theft features, including alarms, also result in lower premiums.

3. Driving Habits

The more accidents and driving infractions in your record, the riskier you come across as a driver. Tickets also relate to risk.

Avoiding traffic accidents and infractions will result in lower premiums. If you have incidents on your record, you might be able to get discounts by completing driver safety training courses.

If you’re looking for full-coverage auto insurance, choose Ron Nall State Farm Insurance in Andalusia, AL. Serving Covington County, they bring a human touch to the insurance buying process, helping you find the right policy for your circumstances. They also allow you to customize coverage to suit your needs. Call (334) 222-3106 to get in touch, or visit them online for more information on full-coverage auto insurance.