Affordable Car Insurance for Students – Factors That Influence Your Rates

As a student, finding affordable car insurance can be very challenging. There are several factors that insurance companies use in order to determine student auto insurance rates. If you fit into any of these areas, your car insurance rate can be anything but affordable. The following are some of the factors that are used by insurance agencies to determine student auto insurance. Review each of these and take action to help you find affordable car insurance:

  • The magic number 25 – this age is of significance to insurance companies because from a statistical perspective, your risk of driving related issues drops dramatically once you reach the age of 25. If you are under 25 looking for student auto insurance, be prepared for a slightly higher rate simply due to your age.
  • Your past tells your future – if you have had any traffic violations or any accidents in the last three years, this will affect your student auto insurance rate. Even if the accident was not your fault, this can be a factor for insurance companies because it gives the perception that you are in a higher risk group.
  • Grades are good – if you maintain a B average or higher in school, you can qualify for more affordable auto insurance. You will need to provide a copy of your school transcript in order to qualify for this discount.
  • Quantity is as important as quality – the number of miles you drive has an impact on your student car insurance rate. If you drive around 50 or so miles a day on average, your insurance rate could be higher because the more time you spend on the road, the higher your chances of being involved in an accident.
  • Driver’s education is a big plus – most insurance companies offer substantial discounts for student auto insurance if you have taken a driver’s education course or a defensive driving course. Even if you pay for the class, the insurance savings could be well worth it.
  • Your car and safety features – the age of your car can definitely affect your ability to qualify for affordable car insurance; older models are often more expensive to insure. You should also consider the safety features of your car. If the car has air bags, anti-lock brakes, a car alarm or other safety features you could qualify for further discounts on your insurance policy.
  • Where you live can change your rate – if you live or go to school in a more populated area such as a large city, your car insurance rate can be higher than someone who lives and goes to a college in a rural part of the state. Higher traffic areas such as cities put you at greater risk for traffic accidents, and the insurance companies know this.

Affordable car insurance can be a challenge for anyone who falls into any of these areas. Student auto insurance can be particularly challenging, but with good grades and a safe driving record you can find insurance companies who will negotiate a fair rate as you build your auto insurance reputation.