David City, Nebraska
594 N 4th St.
David City, NE 68632
(402) 367-3177

What Factors Affect Car Insurance Rates? May 22, 2020

David City, Butler
What Factors Affect Car Insurance Rates?, David City, Nebraska

Nearly every state requires drivers to carry some form of auto insurance. This is a protective measure that safeguards motorists from liability and helps ensure that those involved in accidents do not suffer significant financial losses. When it comes to auto insurance rates, many factors can affect the premium you have to pay. Read the following guide to learn more about these factors and how to keep your fees as low as possible.

Considerations That Impact Rates

Drivers under the age of 25 have higher premium costs because they are less experienced behind the wheel, increasing the likelihood of an accident. A driver's record has a significant bearing on rate amounts. If you've had accidents, traffic violations, or DUIs in the last several years, you'll likely pay more.

Your home address can also play a role in how much you're charged; drivers in larger cities will face more risk and higher costs. People who drive their vehicles less will usually pay lower premiums than those who drive their cars to work every day.

The type of car you drive figures into most rate calculations as well. Sportier cars are costlier to insure, while more modest cars with safety features will help you spend less on monthly premiums.

How to Reduce Your Rates

auto insuranceFortunately, there are several things you can do to bring your rates down. Choosing a plan with a higher deductible can lower your monthly rate. If you're ever in an accident, you'll have higher out-of-pocket costs, but the premiums will be substantially lower.

You can also bundle your auto coverage with the other insurances you carry, like home or renter's insurance. Most providers offer discounts when a customer has more than one coverage with the same provider.

Also, maintain a good driving record by following the rules of the road whenever you're at the wheel. If your driving record is less than stellar, you may be able to get an insurance discount by completing a driver's education course.


To find the lowest rates possible, consult an auto insurance professional. The team at First State Insurance Agency is here to help. With locations in David City, Beatrice, and Hickman, NE, they offer insurance solutions for your vehicle, home, health, and business. They have more than 60 years of experience providing plans and policies that best meet the needs and budgets of their clients. Request an insurance quote by calling (402) 979-7585 or visiting their website.

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