Insurance factors

Insurance factors represent quantifiable variables insurers use to calculate risk and price policies, such as age, health status, driving history, ZIP code, credit score, and type of property or vehicle. Insurers consider your age because drivers under 25 have higher accident rates by 30%, according to NHTSA data.

Health insurance underwriters factor in pre-existing conditions like diabetes or heart disease, which increase claim probability by up to 40%, CDC confirms. Home insurance factors include roof condition and location; for example, homes in coastal Florida face premiums 2-3 times higher due to hurricane risk (III reports).

Credit scores below 650 result in auto policy rates averaging 20% more than those with excellent credit, per Consumer Reports, https://yourinsurance.info states. Occupation affects life insurance rates because hazardous jobs like construction see claims that are three times higher than office work, Bureau of Labor Statistics data shows.

Marital status impacts auto premiums–married drivers pay around 5% less due to lower claim frequency (Insurance Research Council). Previous claims made within the past three years typically raise premiums by up to 30% (NAIC statistics).

Vehicle safety ratings influence car insurance factors; a five-star crash rating can reduce premiums by about $150 annually (NHTSA analysis). Coverage amount required directly affects cost: $500,000 home coverage averages $1,200 yearly versus $250,000 at $900 (NAIC).

Insurers review mileage driven per year–driving over 15,000 miles annually increases likelihood of accident claims by 20% compared to under 7,500 miles (Federal Highway Administration).