My name is Eric Bowman, and if you have questions about insurance, this is the blog you need to read. I was always confused when I had to purchase insurance. I would either end up paying for insurance I didn't need or I wouldn't buy the right policy. I finally decided that I was going to learn all I could about insurance policies so that I would understand exactly what I was buying. Now, I am completely satisfied with my insurance and the coverage is just what I need. I realized that there are others who are probably just as confused as I was, so I am writing this blog to help others get the best insurance for their needs and budget. I hope that my blog gives you the information you need to make the right choices when purchasing insurance.
When you've been a model driver for a long time and you haven't received so much as a parking ticket, it can be concerning to find that your insurance company has raised your premiums. However, it's important to consider why your premiums might have increased.
Although traffic incidents are the most common reason why auto insurance premiums are raised, there are other factors that can also contribute to increases in insurance premiums.
Find Out Why Your Premiums Have Increased
There are a number of key reasons why your premiums may be raised, even with a good driving record. These include:
Loss of a discount: You may no longer qualify for a particular discount that was considered when you initially took out the insurance. For example, if you've removed another car from the policy, you'll lose the multi-car discount. You can also lose discounts due to change in employment or removing an item from a multi-policy discount.
Medical condition: A new medical condition that increases your risk of getting an accident can cause an increase in premiums.
Mistakes: Insurance companies can give you the wrong rate by mistake.
Increases in theft, collisions, or vandalism in your area or for your car model can lead to a premium increase.
Increases in liability claims paid out by the insurance company in general can also affect your premiums.
Counter The High Premiums
When you've gotten to the reason why your premiums have been raised, there are a few ways that you can counter the increase, such as:
Taking advantage of discounts that you hadn't considered previously or that you've just recently qualified for
Investing in anti-theft devices if your vehicle is considered a target
Moving to a new neighborhood that is considered low risk
Going to your agent and ensuring any mistakes are properly addressed if you feel the increase was unjustified etc.
Communicate with Your Insurer
Whenever you are concerned about your rates or any other issue relating to your insurance coverage, the best thing to do is get on the phone with a live representative. They can help you review the reasons your coverage has changed. They have more insight into how to counter the raises as well.
You might find that, after speaking with your insurance rep, you are able to counteract any negative information on your file. If the raises were due to rising costs or other factors out of your control, your insurance agent may still be able to help you find ways to keep your premiums affordable.