How do you calculate your car insurance?

Is there any way to calculate your car insurance? My premium went up, which doesn't seem right. Can I calculate it on my own so I know I'm not getting cheated?

Every insurance provider has a unique method of calculating insurance rates, so it’s difficult to calculate your own insurance rate. However, there are a few reasons your premium could have shot up.
Here are some of the most common causes of a jump in monthly rates:
  • Speeding tickets or moving violations can raise your premium since your provider might see you as a higher risk.
  • Accidents can also raise your premium. Unfortunately, it doesn’t always matter if you were the one at fault. *
  • *The number of claims filed in your area** will often force your provider to raise your rate. If your location makes it more likely you’ll file a claim, your premium will reflect that.
  • Age could also impact your monthly rate. If you just turned 60, your provider is likely to raise your monthly rate.
  • Lost discounts might also be the cause of your insurance jump. For instance, getting into an at-fault accident might cost you your good driver discount, which could save you between 10-30% on your policy.
If your premium has gotten too high for comfort, there are steps you can take to lower your monthly rates. Many providers offer significant discounts, and you can always remove excessive coverage.
You could also look around for other providers who might offer better rates. For help finding a more affordable policy, try using Jerry.
A licensed broker, the Jerry app will help you gather and compare quotes from top name-brand insurance companies. If you’d like, Jerry will even help you sign up for a new plan and cancel your old one! When your policy comes up for renewal, Jerry will send you new quotes so that you always know you’re getting the best possible deal.
Joshua Levy
Answered on Oct 20, 2021

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