Car Insurance Rates

Ever wonder how your car insurance rate is determined? We’ve got the answers.

There are many factors considered when your car insurance company determines your auto insurance premium, the obvious being the amount of auto coverage you choose and what deductible you choose. But there’s more to choosing the right price for you.

Check out types of auto coverage.

Vehicle Type

The type of vehicle you drive plays a role in how much your car insurance rate will cost. A brand-new sports coupe will be a little pricier than a mini-van that’s paid off, and would probably require more coverage by your lender.

How Much You Drive & Where

Drivers who use their car for work or drive long distances may have a higher car insurance premium. If you live in an urban area where there tends to be more crime, theft and vandalism, your insurance rate could be higher than someone lives in a rural area.


Your age, sex and marital status all play a factor in determining your car insurance rate, drivers younger than 25 often pay higher premiums.

Driving Record

Your past driving record helps determine whether you are a low-risk or high-risk driver. Drivers who have been accident-free for several years will generally pay a lower insurance rate than those who have caused or been in multiple accidents.

Credit History

Studies show that drivers who have a poor credit rating are more likely to be involved in an accident or let their insurance coverage lapse.

To find out more about your car insurance rate, or a free quote from Direct Auto Insurance, visit one of our locations, visit us online, or call us at 1-877-GO-DIRECT (1-877-463-4732).

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