Why your auto insurance rates are high

Here’s Why Your Auto Insurance Might Be on the Expensive Side

There are some legitimate reasons why your car insurance rates seem high.

Does it seem like you are paying more for your auto insurance in Plano, Texas than everyone you know? While this seems unfair, there are some legitimate reasons why your insurance rates are on the higher side. Here are some of the factors that can translate into higher auto insurance rates.

You Set a Low Deductible

Your insurance deductible is the amount that you agree to pay before your insurance coverage kicks in. For instance, if you had a deductible of $500 and your car was damaged, you would have to pay $500 in repair costs before you could access your insurance coverage. It’s important to understand that your insurance deductible and premium have an inverse relationship. This means that the lower your deductible is, the higher your premiums will be. If you want to lower your insurance rates, consider increasing your deductible.

You Have a Fancy Car

If you drive a high-performance or specialty vehicle, you should expect to have higher insurance rates than a driver who owns a standard vehicle. This cost difference is because speciality vehicles often have higher repair costs, require special parts, and might require special services. So, if you own a fancy sports car, don’t expect your financial investment to end at the dealership.

You Have a Bad Driving Record

Finally, drivers who have received numerous traffic violations or who have a history of filing insurance claims should expect their insurance rates to be on the higher side. This is because drivers with a spotty driving history are seen as more reckless and riskier to insure. If you want to reduce your insurance rates, you should make a serious effort to keep your driving record clean. Over time, you should see your rates start to drop.

These are some of the reasons why your car insurance rates might seem more expensive.  Do you have more questions regarding your auto insurance in Plano, Texas?  Direct them to the professionals at Tri-Star Insurance/HUB International.  Our dedicated team is eager to assist you with all your insurance needs.