Mature drivers who have a number of years of experience behind the wheel can qualify for lower rates on their PA auto insurance coverage by completing an approved defensive driving course. Under state laws, insurance companies must offer at least a five percent discount on policies where all named drivers are 55 years of age or older and who have completed one of these programs.
Older drivers can also qualify for discounts if they have a good driving record. Staying accident-free for a number of years will help drivers of any age to qualify for better rates from an auto insurance provider. Getting a price break can be a simple matter of asking for a discount if one is not offered automatically when the policy comes up for renewal. Some insurance providers also offer loyalty discounts to their customers who have been policyholders for a number of years and this is worth asking about as well.
A driver who is either retired or semi-retired may also be able to qualify for a discount if he or she has low annual mileage. People who spend less time behind the wheel present a lower risk for car insurance purposes than those who can be classified as road warriors. A driver should let the insurance company know if the amount of driving he or she is doing has changed so that it can be factored in when setting rates for coverage.
When Pennsylvania auto insurance companies are setting rates for their customers, they consider several factors:
- Make and model of the vehicle
- Location where the car is garaged
- Whether it has any safety features, such as anti-lock brakes and automatic seat belts
- Annual mileage
- Applicant’s driving history
The car insurance company uses this information as part of its underwriting process. To set rates for a particular driver, the company must assess the level of risk that he or she presents for car insurance purposes. Drivers who are determined to be high risk for car insurance purposes pay more for their coverage than low-risk ones.
High Risk Drivers
A person may be classified as a high-risk driver for Pennsylvania auto insurance purposes if he or she is young and/or recently licensed. Car insurance providers know that people who fit this profile are more likely to be involved in accidents and to be involved in claims made against their auto insurance policy and for that reason they pay more for their coverage. A person who has been involved in one or more accidents is also more likely to be charged higher rates for coverage. The insurance company looks at past behavior as a way to predict future events.
To avoid being placed in a high-risk category, a driver should try to maintain a clean record. Taking a good driver’s education or a defensive driving course will help an individual stay accident-free and qualify for better rates on his or her Pennsylvania auto insurance coverage.
