Why does my address affect my car insurance rate?

I moved from one neighborhood to another in Baltimore and my rate suddenly jumped by almost $40 a month. Why does my address have such a big impact on my rate?

Answer
“The garaging address of your car does play a significant role in your auto policy. Even though you moved from one area of Baltimore to another, each neighborhood has characteristics that will impact your rate.
Insurance carriers have historical data on factors like theft and vandalism, traffic patterns, pedestrian foot traffic, and more. They use this information to rate your policy. One city can have several different zip codes and rating factors.
The good news is that not every insurance carrier looks at this information the same way. Moving into a new home can be an excellent time to have your insurance re-evaluated.
One option is to work with a local car insurance broker who is familiar with the area. Or you can get car insurance quotes online from many carriers at once.
If you’re shopping for car insurance, Jerry will generate competitive quotes from top providers in less than a minute!”
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Shannon Martin
Answered on May 06, 2021
Shannon is an expert in personal lines liability insurance with 13 + years of insurance industry experience. She also served as a special insurance liaison to AARP members for 6 of those years. She is a graduate of UL Lafayette and currently resides in NY with her family. Shannon is also an amateur juggler, ukulele player, and is a time travel paradox theory enthusiast.
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