87% of people that are of driving age have a driver’s license. While that massive pool of millions is diverse in more ways than we have time to break down in a single post, one thing that combines the majority of them is that they have car insurance.
Why? Because car insurance is obligatory!
It’s probably not news to you that you need to have car insurance to drive a car. What may be less obvious is the average monthly cost of car insurance.
Therein lies the purpose of this post.
Below, our team breaks down the key factors that affect car insurance rates so you can shop types of auto insurance more intelligently and hopefully, come away with the perfect policy at the perfect price.
Where Do You Live?
One of the primary factors that affect the average monthly cost of car insurance is where you live. People that drive in cities with nominal traffic and low accident rates will pay much less for insurance than those that drive in impacted cities.
Similarly, those that park their cars in high crime areas that run a higher risk of experiencing break-ins will pay more for insurance than someone with the same car would that lives in a nicer neighborhood.
What Does Your Record Look Like
If you’ve never been in an accident before and have been driving for years, insurers will line up to give you great rates. If you’ve been in numerous accidents or have no record of driving, you’re going to pay a premium for coverage.
The good news is that even if your rates start off high, by driving consistently and safely, you can petition for reductions on what you’re paying.
What Kind of Car Do You Drive?
The more expensive your car is, the costlier it’ll be to manage if it’s totaled in an accident, stolen, etc. This is one of the main reasons why people that are wanting to lower their car insurance costs opt into purchasing cheaper vesicles.
Insuring expensive cars is especially pricey if as part of your insurance package, you have coverage that extends beyond general liability (bodywork/repairs).
How Much Coverage Do You Need?
If you shop for the cheapest option here be sure you get the right amount of insurance coverage. The liability limit is the most important — you don’t want someone to sue you, garnish your wages, or take other action. However, the higher your coverage limits are, the more you’ll pay for your insurance.
What Is the Average Monthly Cost of Car Insurance?
Given the variability of the factors that affect the average monthly cost of car insurance, it’s hard for us to give you a number that you can expect to pay when insuring your car.
Any estimate based on your unique factors will help you get a more accurate idea of what insurers in your area are likely to charge you. Or better yet, get a free quote from a company you like.
For more insight on all things auto, explore the newest write-ups on our blog!