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Colorado Factors that  Affect Car Insurance Rates

Are you looking for car insurance in Colorado? Then you're probably concerned with getting the best insurance rates possible. If you're not quite sure how to do that, there are some comments below about the different Colorado factors that affect insurance rates. Once you determine which aspects are in your favor and which are not, be sure to mention anything that might help you to your car insurance agent to ensure that you get the best rates you possibly can.

Factors You Control

The good news about purchasing automobile insurance in Colorado is that there are many factors that go into determining your premium that you can control. There are things that you can actively do to manipulate these factors and make sure you appear in as good a light as possible to the car insurance company.

The first of these factors that you can control is making sure that you do not have any lapses in your car insurance coverage. This means taking care to pay your policy's premiums on time, but also means that you keep track of your policy so you know if there is anything else you need to do to keep it active. While the insurance company should notify you of these things, it is your job to make sure they get done.

You can also control where you live. While it may not be worthwhile to move just for lower automobile insurance premiums, if you are planning to move already or are not yet settled, ask your insurance company where you can live to get the lowest premiums. Places with less traffic, like more rural areas, often have lower average car insurance premiums than places with more traffic.

In addition, think about how your home's geographical location might affect the time you spend in the car. If you drive fewer miles each year, you may be eligible for lower insurance rates. If your commute to your office is short, this can lower your rates even more. Thus, it may not be a good financial decision for you to move to a rural area if it means you will be on the road more. You will need to weigh the factors and ask your vehicle insurance company how much it will affect your rates before you make any moves.

The vehicle you drive will also affect your car insurance rates. Obviously, an expensive vehicle will cost you more to insure, because it would cost the insurance company more to replace it if it is deemed a total loss in an accident. However, you will also pay more in automobile insurance if your vehicle is of a make, model, and year that is commonly stolen. You can find these lists online by running a simple search. You may be surprised at what you find, because some vehicles that are commonly stolen are older.

You will also save money on your car insurance in Colorado if you choose to have certain safety features or anti-theft features installed on your vehicle. Each insurance company will allow these features to affect your rates differently, so talk to your company's representative before you purchase a new car or have any new features installed. Some features that commonly affect your rates for the better are car alarms, LoJack devices, multiple airbags, and anti-lock brakes.

If you choose to have more than one car and/or driver on one insurance policy, you can also save money. Putting multiple people on one policy gives the insurance company more business, and so they will often reward you by giving you a cut in your premium rate. Note that this only saves you money if you were planning to insure each of these cars and drivers anyway. By putting them all on the same policy, you will save money over insuring each vehicle/driver combination separately, but it will probably not cost you less than just insuring yourself.

Some insurance companies will also cut your premium rates if you choose to have more than one kind of policy with the same company. Policies eligible for this kind of reduced rate often involve homeowner's insurance, renter's insurance, health insurance, and/or life insurance, but you will have to discuss the situation with your individual automobile insurance company to be sure.

Factors You Do Not Control

Unfortunately, there are also some factors that affect car insurance rates in Colorado that you cannot control. The most common of these are demographic factors, include age, gender, occupation, and marital status.

Regarding age, drivers under the age of 25 will pay more for their insurance, as will drivers over a certain age, though the particular age varies by car insurance company. Due to different factors, these drivers are more likely to make insurance claims than others, and so will automatically pay higher rates.

Women will also pay less than men who have the same driving history, etc. In general, women get into fewer accidents, make fewer insurance claims, and so cost the car insurance company less than male drivers. Some insurance companies attribute this to a higher level of aggression commonly found in men, while others don't know why it is true, only that the statistics prove that it is. No matter the reason, women will have lower automobile insurance premium rates than men.

Some occupations also cost insurance companies less to insure than others. Overall, people who work desk jobs will pay less to insure their vehicles than will those who work in other sorts of occupations.

Similarly, married drivers will pay less in car insurance than unmarried ones. Again, it is a statistical fact that married people cost less to insure in the long-term than unmarried ones, and so they have lower car insurance rates.

The most important factor affecting insurance rates in Colorado, though, is your previous driving record. The more accidents, tickets, and claims that you have on your record, the more you will pay in vehicle insurance payments. While you cannot change the way you drove or things that happened in the past, you can move forward with the intention of becoming a better driver. So you can't change how your past driving affects your current car insurance rates, but you can change how you drive now so you will pay less in the future.

Finally, your credit score is an important part of the way an automobile insurance company determines your rates. Those who have been responsible with their money are statistically more likely to also be responsible drivers, and so will pay less in car insurance. Thus, improving your credit history and your credit score will also allow you to pay less in car insurance.

Familiarize yourself with these Colorado factors that affect insurance rates before you talk to your insurance company, agent, or broker about getting new coverage or lowering your current premiums. Make sure you discuss with them anything that might be in your favor, because you want to get the best rates possible. If they ask about a factor that isn't in your favor, be honest but don't give too much information. You want to come across as the best driver you possibly can.

 

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