The premiums are determined by the company's evaluation of
how risky a driver is, how much it will cost the company to conduct business and the amount of claims it would have to pay out during the year.
Insurers rely on a table to compute
how risky a driver is.
The insurance company basically wants to gauge
how risky a driver is going to be.
Whenever a company decides on whether a driver would get his / her policy, and likewise, his / her premium, they will first look at
how risky the driver is.
Not exact matches
These don't move in perfect lockstep, so natively the return
drivers of the
risky components of the assets are 60 - 90 % correlated over the long run (the asset side of correlation, think of
how the cost of capital moves in a correlated way across companies).
Enter Allstate Drivewise, Progressive Snapshot, State Farm's Drive Safe & Save and similar programs, which give insurance companies a way to measure
how risky of a
driver you are by directly observing your driving habits.
Your monthly cost for Bemidji car insurance may be higher or lower depending on these and other factors that predict
how risky you are as a
driver.
Your credit score — Believe it or not, insurers often look to your credit score to determine
how risky you are as a
driver.
There are two primary advantages of completing a Texas defensive driving course - dismissing your CA ticket and learning about
how to be a less
risky driver.
To see
how risky of a
driver you are, of course!
If you are currently insuring another vehicle, you'll probably know
how risky you are based on
how your premiums compare to the average
driver in your state.
One does not have to look very hard in the current news to find sad and sometimes gruesome stories of
how teen
drivers who engaged in
risky behaviors behind the wheel paid the ultimate price of death.
The most recent study looked at teenage
drivers» tendency for potentially
risky behavior with passengers present as compared to driving alone and piggy backed on another report from May 2012 by the AAA Foundation covering
how the probability for a fatal crash increased with 16 and 17 year old
drivers carrying one or more passengers.
Carriers determine auto insurance quotes based on
how risky they judge a
driver is to insure, as reflected in the likelihood they will cause a claim.
Major or minor violations or road accidents are what they are up to and will determine
how risky you are as a
driver.
And the main factor that determines on whether you are having expensive or cheap premiums to pay is
how risky you are as a
driver.