Ever wonder why your insurance rate is different from your neighbor’s—even if you drive the same car or live on the same block? It all comes down to risk—and insurance companies use several key factors to set your premium.
Here are some of the biggest ones:
📍 Location – High-crime areas or places prone to natural disasters usually mean higher rates.
🚗 Vehicle Type – Luxury or sports cars cost more to repair or replace, which drives up premiums.
📊 Driving Record – Accidents, tickets, and DUIs can lead to major increases in auto insurance costs.
🏡 Home Features – Old wiring, a roof in bad shape, or a lack of security systems can affect your homeowners insurance.
📈 Credit Score – In many states, insurers use credit-based insurance scores to predict risk.
🧾 Claims History – A long list of past claims (even small ones) can make you appear high-risk.
The good news? Many of these factors are within your control. Safe habits, regular home maintenance, and a clean driving record can all help lower your premium.
Want a custom review to see how your rate is calculated—and where you might save? Reach out to Shelter Rock Insurance Agency today for a quick, friendly policy check.