There are quite a number of considerations taken to affect premium pricing on new car insurance. Insurance companies vet an individual’s cars to ascertain risk factors which in this case influence the cost of car insurance. Some of the factors taken into when purchasing a new car insurance premium are;

Car insurance group

All cars have a group cluster rating issued by the insuring body; these ratings are normally based on the risk component of the vehicle. Some of the factors used to determine a car’s group ratings are:

The value of the car

Spare parts costs

Availability of spare parts

Engine performance and specifications

Standard security features fitted the car manufacturer

Past insurance history of the model of the car

Cars with low category cluster as per the mentioned points attract less insurance premium.

Driver’s license information

Drivers with clean driving records are seen as less likely to be involved in car accidents. Supporting driving certificates from recognized driving institutions can also help in lowering insurance costs.

Insurance claim history

An applicant with a record of recurring insurance claims is seen as potential high risk to the insurance. Insurance companies quote a higher premium for such new car insurance applicants.

Medical Condition and history

Insurance do not charge extra for individuals with certain medical conditions, however an individual with a restricted license may have the insurance company review the policy hence an adjustment to the car insurance costs. It is very important to reveal any medical condition that may be of concern to your driving abilities.

Car security

Most insurance companies will insist on additional car securities such as car alarms and engine immobilizers. Some insurance companies insist expensive to have cars to have satellite tracking systems. It is very important to have such installation done by professional car security personnel and a certificate issued to that effect.

The applicant occupation

Individual on certain occupation tend be of higher risks than others. For instance, golfers and sportsmen can carry around gadgets which may put the car at potential risk, whereas a college lecturer may not have anything of worth to carry around.

Your address and car parking details

Insurance companies gathers information about the applicant address, this base the risk component influenced by the applicant surrounding. It is very important communicate with your car insurance company whenever you move to a new address. Stating where you park the car at night will also affect the kind of premium charged.