How Insurers Make a Car Insurance Estimate

Published: April 5, 2008, 11:19 am

The things that are looked at in a car insurance estimate can be mystifying. Why should it matter whether your car is paid off? And who cares whether it is a Ford or a Dodge? Insurers know what they're doing. Their estimates are based on a wide variety of factors that go together to determine their risk. When you take out an insurance policy, what you're really doing is asking them to take some of your risk and paying them to do it " so the only fair way to determine this is to look at all your risk factors. The most obvious factor as to whether you are likely to cost them money is you and your driving record. Are you a safe driver? Do you have tickets, and have you been found at fault in accidents before? Even if you were not at fault in an accident where you were a driver, insurers take this into consideration because people who have an accident where they were 100% not at fault still have accidents at a higher rate after this first one. If you have taken a driver safety

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