When most people are quoted car insurance premium rates it seems as though the company quoted something randomly where as in fact the amount is based on a number of factors. The ability to obtain cheap car insurance (günstige Autoversicherung) depends on a number of factors, ier. your age, risk, and how long you have been driving. Each year insurance companies spend millions of dollars trying to determine the risk factor of their policies.

It is these very factors that have influence over the rates you are quoted. Knowing these factors can help you get much cheaper car insurance premiums.

One of the most important risk factors that influences a great part of a car insurance premium is your driving record. People who have had the misfortune of being in really severe accidents will almost always have to pay high premium rates. This is because insurance companies will see you as a high risk client. The best way to rectify this situation is to get driving lessons from a professional teacher so that you become a diligent driver. Over the course of a few years if you don’t get into any severe accidents your driving history will improve and hence open you up to cheaper car insurance.

Another factor is the car you drive. In the majority of cases people only think about the car they want to drive not which car will be the most insurance friendly. People who own luxury vehicles which are expensive to repair and parts are hard to get should be prepared to pay very high car insurance premiums. The same applies to people with sports cars which are usually associated with reckless drivers and street racers doing speeds beyond the designated speed limit. The easy way to look at this is that the more money an insurance company has to pay in the event of an accident or repair the more they will charge the customer in form of premiums.

Cars that also have a high level of theft may also be more expensive to insure. This means that even a relatively cheap car that is popular with most car thieves is going to be expensive to insure, as compared to an expensive model that does not get stolen so often. Insurance can also differ greatly depending on your jurisdiction, for example, car insurance in Germany (Kfz Versicherung) can be very different from similar protection in the US.

Finally another important factor is your credit report. People with poor credit reports and ratings are seen as a big risk to insurance companies and hence have to pay a much higher car insurance premium. Many insurance companies may not even entertain applications from people with bad credit.