How car insurance prices should be structured
How car insurance prices should be structured
It's no secret that your auto insurance company weighs factors like your credit score, driving history, age, level of education and marital status to determine your car insurance rates. But a new report released by LexisNexis Risk Solutions, a leading provider of insurance scores and data for the insurance industry, reveals that a majority of auto insurance policyholders aren't happy with the way their insurance rates are calculated.It seems that consumers want the rate-calculation method to change -- perhaps personalized a bit more. auto insurance ratesYour state's role in how your car insurance rates are calculatedWhile it's true that your auto insurance company sets your rate, it's only allowed to set rates using criteria allowed by the state laws where it sells its products."So it's not like your auto insurance company has the free choice to include, or rule out, a certain factor or two to determine rates," says Dan Weedin, a Seattle-based insurance and risk management consultant with more than 23 years experience as an insurance underwriter and agent.But that doesn't stop drivers from wanting their car insurance companies to re-examine the factors used to determine prices. For example, most drivers don't think that the number miles they drive in an average day should be a factor in their rates.The LexisNexis survey found discount auto insurance57 percent of drivers want actual driving data (such as compliance with speed limits and stop signs, incidents of road rage, etc.) from the past three months used to determine their rates. They do not want estimates, speculations, averages or projections. They would like their rates to be flexible and adjust their true risk versus the auto insurance company's perceived risk.71 percent want numerous or rapid lane changes used to set rates.80 percent of policyholders believe tailgating should affect rates.69 percent of policyholders believe the driving practices of other drivers of a similar age should not be used to determine rates.More than half of policyholders feel that minor speeding infractions (5 mph over the speed limit) should not impact rates.According to the survey, the three factors that policyholders think should be used to determine rates are criteria currently used to determine rates: driving record, number of tickets and number of accident claims.discount auto insuranceHowever, auto insurance companies say some of the pricing factors that drivers want can't be considered. "Many of these factors like tailgating and lane changes can't be measured by an auto insurance company," observes JR Couch, a Farmers Insurance agent in Tempe, Ariz..a complete resource with more info on auto insurance is avaliable at one of our sites, visit us anytime! Does going green mean my car insurance is going up? Home Business Online Auto Mass Traffic Seek Getting Cheap Auto Insurance Illinois is As Easy as One, Two, Three Car Rental Algarve, A Hole In One Car Rental Algarve, The Choice Is Yours Car Rental Algarve, Simply The Best Finding the Cheapest Car Insurance is Only a Click Away Effective Ways To Have Cheap Car Insurance! Auto Traffic Exploit - Is It All Just Hype? Always compare car insurance before picking one How to Get Car Insurance If You Don't Have Any Auto Profit Sniper Review Exactly How We Are In Benefit With 1 Day Car Insurance?