Auto Insurance Facts

What Determines Your Rate - Every Agency Offers the Same Price - Limits of Liability

What Determines Your Rate.  There are several factors that are considered to calculate an Auto Insurance rate.  The areas that effect your rate the most are:

• Your Age - This is a major factor.  Most companies will put you into groups that change when you turn: 18, 21, 25 & 30.  Your rates almost always lower each time you enter a new age category.

• Marital Status - Being legally married at 21 can put you in the same category as a single person at age 30.  Your marital status makes a huge difference in your rate.

• Zip Code - Different parts of town have different types of traffic. Most companies have 2 or 3 different rates depending on what part of town you live in.

• Driving Record - Tickets are usually looked at for 3 years, after that most companies don't consider them.  If you go to school on a traffic violation, most of these violations never make it to your driving record.

• Credit Score - Some companies use credit scoring to determine your rate.  With these companies, good credit scores usually lower your rate considerably while poor credit scores don't necessarily raise your rate, they are just not eligible for the lowest program.

Every agency offers the same price!  Every Insurance Company in the State of Arizona has one set of rates and files them with the Department of Insurance.  Each Insurance Agency that represents that particular company sells the same policy at the same price.  There are companies that focus on different types of risks, such as a certain age group or a certain zip code and lower their rates to win that type of business.  The more companies you represent, the better chance you have of offering the program that best fits that situation.  If you find we offer the same company you currently have, you can still benefit from our exceptional customer service by simply signing a Broker Change form and allowing our staff to serve you.

Higher limits of liability.  The minimum limits of liability currently required by the State of Arizona are "15/30 10".  These numbers represent the maximum amount (in thousands) of dollars that your insurance policy will pay.

• The first number (15) represents the maximum amount of coverage payable to any one person for bodily injury to others.

• The second number (30) represents the maximum amount of coverage payable per accident with all people combined for bodily injury to others.

• The third number (10) represents the maximum amount of coverage per accident for property damage caused to others.

These limits may not be enough to cover all the injuries or damages that you cause in an accident.  You can usually double the amount of coverage for just a few dollars more per month.

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