5 Useful Facts About Auto Insurance

If you’re currently shopping for auto insurance San Diego or you simply want to ensure you’re getting the best rate possible, it’s important to understand exactly how insurance policies work. Here are five useful facts you should know about regarding auto insurance.

Insurance Companies Will Check Your Motor Vehicle Record

Your motor vehicle record (MVR) is a history of any tickets and accidents you’ve had. It won’t necessarily include incidents from many years ago, as offenses fall off after a certain period of time. Any insurance company will pull up your MVR before deciding your insurance rates.

It’s important that you’re honest about your driving history when applying for insurance if you want an accurate quote. Insurance companies typically check your MVR to finalize insurance rates, not when providing a quote, because there is a small fee for each MVR they get.

Each Insurance Company Has Its Own Formula for Calculating Rates

The most significant factors when it comes to the amount you pay for insurance are your driving record and the car you drive. However, these aren’t the only factors, and each insurance company uses its own criteria. This may include the area you live, your credit score and other factors.

Not Every Violation Will Increase Insurance Rates

The first one or two times you receive a non-moving violation, such as failure to wear a seatbelt or having an expired license, it may stay off your record, which also means that it won’t increase your insurance premiums. However, accumulating several minor violations will eventually result in higher insurance rates.

Major Violations Can Impact Your Insurance for Years

There are several major violations that will always impact your insurance. These include driving under the influence (DUI), racing, hit and run, and driving with a suspended license. You will likely end up in a high-risk driver category for these. Your insurance carrier could choose not to renew your policy or charge you a much higher rate. It is usually at least three to five years before major violations come off your record.

Traffic School Can Keep Insurance Rates Down

When you get a minor violation that will increase your insurance, you may have the option of taking traffic school to prevent it from going on your record and affecting your insurance. There are in-person and online traffic school options. You can only do this with certain minor violations, as major violations always go on your record.

If you are looking for online car insurance quotes,San Diego Altra Insurance can help you.