Ever thought about what could make your car insurance to increase? Sometimes many of us do foolish things which could make our lives complicated and cost us an arm and a leg. When it comes to car insurance, 1 mistake can easily damage a spotless driving record and put you in the high risk driver category.
1. Causing an accident
Clearly, not really a huge surprise. In most cases, if you cause a car accident you may need to pay surcharges. For the 1st accident the amount can be anything between 10%-35% of the value of your insurance policy. Yet,if you are at fault in a second car accident, the surcharges may possibly go up to 150%. Its usually a great idea to learn what the surcharge schedule of your insurer is beforehand. Having an additional driver on your insurance policy, who has a bad driving record, may possibly raise your monthly premiums significantly.
2. Driving offence conviction
As previously mention, your driving record is extremely important. Beginning from speeding tickets, all the way up to Driving under the influence - the effect on your car insurance could only be damaging. What the majority of motorists don't understand is that its a punishable offence to drive uninsured. In most states, if you are caught driving without insurance or Dui, you will be forced to show a prove of financial responsibility for a certain period of time, usually two or three years. Its otherwise known as SR22 Insurance. What that means is that your or your insurer will have to file a SR22 Form to the local authorities, or else your license won't be reinstated.
3. Acquire a car with a bad claim record.
It's obvious, the type of vehicle you have plays a huge role when car insurance premiums are calculated. A typical mistake is to believe that claim record is only associated with an individual. The fact remains that these days, insurance carriers have a claim record for every make and model. Its normal to considering that fast cars have worse claim record than SUVs for example. That being said, you should be aware that Hummers, Audi A4 and Mercedes AMG are at the top of the "bad cars" list. As a rule of thumb, before buying new or used vehicle, always check what the insurance premiums will be first. Sometimes the quotes you get may be astonishing.
In conclusion, if you are serious about getting affordable car insurance - be careful on the road, pay attention to the car you drive, comapre insurance quotes and don't drive uninsured. The very last thing you want is being forced to search for SR22 insurance.
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