a car with money on top of it

Believe it or not, but car insurance premiums aren’t just numbers that insurance agencies pluck from thin air. Instead, they are carefully thought out calculations. Using your personal information and company claim data, car insurance companies use their own algorithms to make an educated guess on how likely you are to file a claim. The riskier you appear to a car insurer, the more you will pay for car insurance. The safer you seem, the less you’ll pay. Take a look at just a few factors that directly impact your auto insurance rates.



Insurers actually start by asking for your ZIP code because where you live is the start of most base rates. If you live in a highly populated urban area, then congestion, accidents, and insurance claims are more prevalent. Living in areas with high crime rates will mean you pay more for auto insurance.


Marital Status

Believe it or not, but insurers look into whether you are married or not. Married couples have found, statistically, to be less of a risk to insurance providers than their single counterparts. Married couples have been found to be less active and safer than single drivers, resulting in lower premiums.


Vehicle Type

The type of car you drive affects the rates since the value of the vehicle and the way you may drive it will vary. Some vehicles have been in more accidents or filed more claims, resulting in higher rates. Additional factors include:

  • Purchase price
  • Theft rate
  • Cost of repairs
  • Accident rate
  • Safety tests

Cars with extra safety features, such as collision-warning systems, may add to the price of insurance if the cost to repair or replace the feature is expensive.


There are many more factors that impact your auto insurance rate. Not sure how and where you can save on your premium? Talk to the team of professionals at Sausman Insurance Agency for help finding reliable auto insurance coverage. We serve Mifflintown, Millersburg, and beyond with quality policies.