As most people know, auto insurance rates are based on a number of factors; however, these factors have a commonality in that they can help to predict the likelihood that you will be involved in a future automobile accident and file a claim. If few factors apply to you, then you are more likely to receive low auto insurance quotes.
What many people don’t know, and are astonished to discover, is that place can play an important role in what your insurance rates will be. After all, where you live and where you do most of your driving affect your chances of getting into an accident.
When it comes to insurance rates, all states are not created equal. Washington DC, New York and New Jersey, for example, have the highest insurance rates in the country, while states like Idaho, Iowa and Maine have among the lowest rates in the country. Why the difference? It all has to do with traffic patterns and congestion. The more congested the highways and freeways the more likelihood an accident will occur. Violent crime also plays a role. After all, if you live in an area where car theft or vandalism is more common, you are more likely to pay higher insurance rates, because your car poses more of a risk.
If you live in a rural area with lots of farmland you are more likely to have low car insurance rates than if you live in the city. Cities are full of cars and pedestrians, while rural areas and suburbs are relatively low on traffic.
Your rates can also be affected by were you store your vehicle. If you park your car on the street it going to be less protected than if you were to park it in a garage. In essence, parking on the street leaves your car more vulnerable, and auto insurance companies count this as a risk factor. As a result, you are likely to receive a higher insurance quote.
As you can see, place plays a large part in how high your auto insurance quotes will be. If you live in a city, or an area that is congested with traffic and therefore considered to be higher risk, auto insurance companies will charge you accordingly. There’s not much of a way around it, unless you want to move to a safer place, which isn’t always a practical choice.