INSURANCEcar Insurance

how car insurance is calculated

To calculate the amount of your car insurance premium, insurers are based on two main types of pricing criteria, the criteria related to the vehicle and the criteria related to the driver’s profile. lectures go into detail and explain everything to you.

The pricing criteria related to the vehicle

That said auto insurance said because. Therefore, it will not teach you anything by telling you that your car occupies a central place in the price of your coverage. Several aspects are taken into account.

1) characteristics

If the driving history, is followed by the driver and not the vehicle, it remains the case that the auto insurance does not cover the subscriber but his car.

This is why the characteristics of the vehicle weigh heavily in the calculation of your premium on your auto insurance. Are taken into account :

The engine of your vehicle (petrol, diesel, hybrid, gold electric) also plays a role in the calculation of your premium. In fact, it can affect the number of repairs after a disaster. For example, an electric motor will cost more to repair than a heat engine.

The devices driving assistance such as ABS or the parking aid are also valued by insurers because they allow for safer driving and reduce the risk of loss.

2) its use

The use that you make of your car is also taken into account by your insurer to assess the risk that you represent.

  • Where can you park? In a parking lot? A box? A garden? In the street?
  • How many kilometers browse every year?
  • What are the roads you usually do?
  • How often do you use your car?
  • Are these other people that you lead?

car insurance is calculated withe The criteria related to the driver

Your profile is the central criterion of the price of your auto insurance. In fact, the statistics related to similar patterns to your and your history with the steering wheel can vary the amount of your annual contribution<.

The criteria linked to your profile generally taken into account in the statistics of the insurers are :

  • Your age
  • Your gender
  • Your family situation
  • Your professional situation
  • Your place of residence
  • Your type of license
  • Seniority

If some of the profiles considered to be at risk statistically to receive additional premiums are sometimes very high, others are fairly valued by the insurers. This is particularly the case of women or fathers of families, who are all considered more conservative and, therefore, less prone to serious accidents compensation high.

The history of the driver

When you purchase a new auto insurance policy, you need to provide your insurer with a statement of information. It compiles your history over the last 5 years (claims, liability, etc) and allows you to know your bonus-malus.

Calculated over the 12 months preceding two months of the anniversary date of your contract, your bonus-malus allows you to calculate the cost of your annual membership fee auto insurance by weighting the assessment of the risk that you represent by your driving history. In other words, a good driver will be given a discount on your premium while a bad driver will have to pay more. After 13 consecutive years without an accident, the amount of your contribution is divided by two.

The criteria specific to each insurer

You have seen, the criteria taken into account in the calculation of the price of your auto insurance are so many that it can sometimes be difficult to find, even more so as it is necessary to add the criteria specific to each insurer.

In fact, an insurer shall also apply to the commercial policy of his company. It is for this reason that an insurance broker is often more competitive to the extent that he may propose coverages from different companies. These pasts adjust their rates based on the line imposed by management, which applies to both types of insured vehicles. For example, some do not want to cover young drivers but rather than refuse, they offer insurance options at prohibitively high prices in order to deter them to subscribe.

This is why there are gaps that are so important to a profile from one insurer to the other. All the more reason for you to go through the services of a comparator auto insurance as les furets to find the offer that best suits your needs and your profile, at the best price

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