Geico Tells You 4 Uncommon Factors that Increase your Insurance Rates
Like all insurance quotes you get, there are many factors that come together to give you your overall insurance rate. But like many shoppers, you do have an idea of what factors are accounted for that weighs upon your insurance quote, it is fairly straightforward so you do what you can in your power to make sure you are primed so you can get the cheapest quote possible. On the contrary, Geico tells you 4 little uncommon factors that could actually insurance your insurance premium without you knowing. So what exactly are these 4 factors Geico thinks you should know of? Let’s begin!
- Expensive and High Tech Vehicles
With a lot of insurance companies out there, you are able to save on your insurance premium by upgrading or purchasing a new vehicle. So how does having an expensive and high tech vehicle increase your insurance rate? Well, new vehicles are full of new features and high tech but all of these are meant to make your car safer on the road. Which is true. However, the cost of replacing and fixing these high tech vehicles do cos the insurance company quite a bit of money.
- Distracted Driving
With more and more drivers on the road each day it can go without saying that automobile crashes are on the rise. Regardless of the additional safety features, there are drivers out there who are still driving while drowsy, using mobile phones, putting on makeup, you name it.The Institute of Highway Safety reported that in 2016 over 37,000 Americans died in a car crashed which was predominantly due to distracted driving and impaired driving.
Find out what Geico has to say about distracted driving here.
- Weather Patterns/Inconsistencies
The last few years the weather patterns we experience in North America are quite inconsistent. It may be hot times of the year when it usually isn’t or snowing times of the year when we would have warm weather. Natural disasters have been reported to happen more frequently and in correlation with this auto insurance claims have been increased as well. Around the world, the insurance information institute has recorded 187 natural disasters which combined causing $119 billion insured losses across North America alone.
- Costly Care
Statistics show an increase in drivers on the road as well as distracted driving has increased as well. With the increase in these variables, the number of insurance claims has increased as well. Such as an increase in medical care, collision claims and even liability claims could directly affect insurance premiums. Specifically, more accidents mean more medical claims. From the years of 2012-2017, the Insurance Research Council reported a 10% increase in economic losses. Such as medical, loss of wages and anything that is out of pocket expenses.
Thanks to Geico we now have some insight on 4 trends that directly affect your insurance premiums when you are given a quote. If you decide to get a quote with Geico insurance, they have a ton of discounts that can give you a break on your insurance premium. Learn more about Geico insurance here. If you want to learn more about what is behind insurance premiums read more about it here.