5 Factors That Affect Your Auto Insurance Rates

If you are paying a lot of money for car insurance every month, you probably feel pretty frustrated. The truth is that a lot of things can make your rates go up. The good news, however, is that you can take control of your situation and lower your rates. Let's take a look at the five factors that affect your auto insurance rates:

Credit Score

Even though it might seem unfair, your credit history can have an impact on your car insurance rates. If you have a low credit score, your insurance company may assume that you will make more claims. Make an effort to raise your credit score by avoiding late payments and making more than the minimum payment on your credit card bills.


If the neighborhood you live in has had a lot of car thefts lately, your insurance company might charge you more money for auto insurance to protect themselves. One thing you can do to lower your rates is to install anti-theft devices for your vehicle, such as steering wheel locks and car alarms.

Driving Record

The more points you have on your driving record, the more you will have to pay for car insurance. For example, if you have several speeding tickets, your insurance company may deem you an unsafe driver and raise your insurance. If you take a defensive driving course, you can shave some points off your record.

Yearly Mileage

How often you drive your vehicle can also have an effect on your insurance rates. The more you drive on the road, the more likely you are to get into a vehicle crash. If you have a long commute to work, ask some of your coworkers to carpool with you to lower the mileage you drive.

Vehicle Type

If you are in the market for a new car, be careful about which one you choose. That fancy sports car might look great, but it could cost you a lot of money to insure. Sports cars have bigger engines and are more likely to be stolen, so insurance companies tend to charge more to insure them. To keep your insurance rates down, it may be better to choose a practical vehicle, like a mini van.

You do not have to pay astronomical rates for your car insurance forever. If you follow these helpful tips, you can keep your insurance rates down and have more room in your budget for other things. To learn more, contact an insurance agency like Lanham Insurance Agency.