Fact or Fiction? Is It More Affordable to Buy New Insurance at the Beginning of the Year?

Car insurance is an unavoidable expense. This is one of the reasons why it is so important that you find the best possible deals on coverage. You may not realize that the season you shop for car insurance can have an effect on your bottom line. Keep reading to learn more.

Best Times To Shop

Some insurance products, health insurance, in particular, have specific windows for purchasing new coverage. These types of rules do not apply to car insurance, though. You can shop for car insurance any time of the year, but there are certain times when it makes more sense to shop around for cheap car insurance quotes. 

When to shop is mostly dependent on you and your current needs. Certain life events will affect your rates. It is good to shop for new coverage directly following one of these events.

Another contributing factor is the time of year. Car insurance companies often set their new rates for the upcoming year in December. This means that if you want to look at the best rates for the upcoming year, you should shop at the beginning of the year.

Life Events

Your car insurance rates will be influenced by where you are in life. Life events play a big role in how an insurance company will determine your risk factors. For instance, getting married often has a good impact on your rates. Buying a house or a new car can also affect your rates.

Other Factors

Some of the biggest contributing factors will be your age, driving record, and credit score. These are considered to help the company determine your risk factors and your ability to pay your premium.

Age- You can’t do anything to control this factor, but you should keep in mind that age will play into your favor for a while. As you transition from your 20s to middle age, rates improve. However once drivers age past 60, risk factors start to increase again and rates could rise.

Driving Record- Your driving record has a huge impact on your rates and is one thing you can definitely control. Simple steps to improve your driving will include following the speed limit and leaving early for destinations so that you are not tempted to speed or break other traffic laws.

Credit Score- Keeping your credit score healthy will impact your insurance rates. Companies want to see that you pay bills on time and are reliable financially.

If you would like to learn more about our services, please give us a call at Affordable Car Insurance Tampa. We will be happy to answer your questions and get you a great deal today with the best cheap car insurance.