Your auto insurance premiums will go up as a result of these three things - By: morgan green

Ever wondered what could make your car insurance to increase? Sometimes all of us do silly things which can make our lives difficult and ended up costing an arm and a leg. In terms of car insurance, just one mistake can ruin a clean driving history and put us in the high-risk driver category.

1. Causing a car accident
Well, not actually a big surprise. In most cases, if you cause an accident you will have to pay surcharges. For the first accident the sum may be anything between 10%-35% of the value of your insurance policy. On the other hand,if you are at fault in a 2nd accident, the surcharges may go up to 150%. Its always a great idea to understand what the surcharge schedule of your insurer is beforehand. Having one more driver on your insurance policy, who has a bad driving history, may increase your premiums drastically.

2. Driving offence conviction
As already mention, your driving history is very important. Starting from speeding tickets, all the way up to Driving while intoxicated - the effect on your car insurance could only be damaging. What many drivers don't know is that its a punishable offence to operate a vehicle without insurance. In most states in America, if you're caught driving with no insurance or Dui, you will be forced to show a prove of financial responsibility for a period of time, usually two to three years. Its known as SR22 Insurance. What this means is that your or your insurer must submit a SR22 Form to the local government bodies, otherwise your license won't be reinstated.

3. Acquire a car with a terrible claim history.
It's obvious, the type of vehicle you have plays an important role when car insurance premiums are determined. A common mistake is to believe that claim history is only associated with an individual. The truth is that these days, insurance companies have a claim history for each make and model. Its common sense to thinking that fast cars have worse claim history than SUVs for example. That being said, you should be aware that Hummers, Audi A4 and Mercedes AMG are at the top of the "bad cars" chart. As a rule of thumb, before buying new or used vehicle, always check what the insurance premiums will be first. Often the quotes you receive may be unbelievable.

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To sum up, if you are serious about obtaining affordable car insurance - drive carefully, pay attention to the car you drive, shop around and don't drive without insurance. The very last thing you want is having to search for SR22 insurance quotes.

Article Directory Source: http://www.articlerich.com/profile/morgan-green/98677

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