What Affects the Cost of Your Auto Insurance?

February 18, 2018||inPersonal Insurance|auto insurance, multi-policy discount, personal insurance

Massachusetts’ “managed competition” has significantly increased the variety of factors used by insurance companies to determine auto insurance premiums. Every insurance company has its own unique guidelines and applies factors differently, which is why we compare companies, coverage, and prices to help you determine the best value. While you can’t control every factor, some decisions you make will impact the amount you’ll pay.

What Affects the Cost of Your Auto Insurance?
Click here to submit an inquiry to Murphy Insurance or call us at 800 222 8711

We will ask you various detailed questions and periodically ask you to provide us with updated information so we may find the best auto coverage for you at the best price.

These factors include:

What Kind of Car You Drive

Your choice of car impacts your insurance cost. Some insurers increase premiums for cars more susceptible to damage or occupant injury and lower rates for those that fare better than the norm. Generally, the more expensive the vehicle, the more you pay. Before finalizing a car purchase decision, discuss your insurance costs with your agent.

How Much Coverage You Buy

There are 12 different parts to your auto coverage. The amount of coverage you choose in each category impacts the overall cost. We always recommend not risking a lot for a little, and it isn’t always significantly more to have the higher protection limits.

The Deductibles You Choose

Choosing a higher deductible to reduce your overall premium is an intelligent way to manage costs. You need to consider how much you can and are willing to pay out-of-pocket in case of a covered loss claim.

Where You Live

Also known as “garaging,” it can impact insurance costs because cities and towns are given different “territory” classifications based on a variety of rating factors. You must have the accurate garaging information listed on your policy. If you move or your car will be in another location for an extended period of time, you should notify us immediately because having incorrect information on your policy could affect coverage if you have a claim.

Years of Experience and Driving Record

Drivers with six or more years of experience pay lower premiums. However, drivers who commit traffic violations or are found 50% or more at fault for accidents generally must pay more than those who are accident-free for five years.

How Much You Drive

If you drive less than 5,000, 7,500, or 10,000 miles per year, you may qualify for a low mileage discount on your premium.

Other Discounts You May Qualify For

There are a variety of discounts that you may qualify for that can reduce the price of your auto insurance. These include discounts for:

  • Having a home policy or multiple cars insured with the same company
  • Having an anti-theft device
  • A vehicle with passive restraint device(s)
  • Use of public transit
  • Completion of a qualified basic and advanced driver training program
  • Number of years you’ve been with the same insurance company
  • Number of miles driven annually
  • Years of driving experience
  • Being age 65 or older
  • Being a high school or college student maintaining a grade average of “B” or 3.0 or higher.
  • Having a student residing in your home who lives away at college.
  • Being a member of a group/organization approved by the state for a particular group discount
  • Being a motor club member, i.e., AAA, Cross-Country, GM Motor Club, Onstar, etc.

Learn more about Auto Insurance Discounts at Murphy Insurance

NOTE: This information is only a general description of the available coverages and is not a statement of contract. All coverages are subject to all policy provisions and applicable endorsements. Some coverage may be subject to individual insureds meeting underwriting qualifications and to availability within a state. For further information, contact a Murphy Insurance Agency professional.

Read Other Blog Posts

Women talking

Understanding the Insurance Knowledge Gap Among Gen Z

Surveys reveals that many Gen Z adults feel overwhelmed by insurance and lack understanding of basic coverage terms, leading to gaps in their protection. However, by working with trusted insurance professionals, they can gain clarity and make informed decisions about essential coverage for their future.
Read more
Murphy’s Law Now Officially Sponsored by Murphy Insurance

Murphy’s Law: Now Officially Sponsored by Murphy Insurance

Murphy Insurance is now the official sponsor of Murphy’s Law—because if anything can go wrong, it probably already has. To mark the occasion, we’re rolling out a tongue-in-cheek lineup of “coverage” for life’s most ridiculous moments, from lost socks to seagull snack theft. While these faux policies are just for fun (for now), our real team is always here with real coverage for life’s unpredictable turns. Happy April Fools Day from Murphy Insurance—when Murphy’s Law strikes, call Murphy Insurance.
Read more
Auto Insurance in Hudson MA

Auto Insurance in Hudson, MA: What You Need to Know

If you live in Hudson, MA, or the surrounding areas, securing the right auto insurance is essential. Whether you’re a daily commuter, a weekend traveler, or a first-time driver, having the appropriate coverage ensures protection on the road and compliance with Massachusetts’ legal requirements.
Read more
Car close-up

What to Do After a Hit-and-Run

When you’re involved in a vehicle collision and the other driver takes off without exchanging insurance information, this is commonly referred to as a hit-and-run. Review the following guidance to understand what information to collect and who to contact following a hit-and-run incident.
Read more
Pest Prevention Keep Your Home Pest-Free with Proactive Measures

Pest Prevention | Keep Your Home Pest-Free with Proactive Measures

Pests can cause structural damage, contaminate food, and pose health risks, making proactive prevention essential since home insurance doesn’t cover pest-related damage. Key prevention tips include proper food storage, maintaining outdoor vegetation, regular home inspections, and keeping living spaces clean to minimize pest attraction. For persistent issues, professional pest control may be necessary, and Murphy Insurance is available to provide guidance on home protection and insurance coverage.
Read more
Stairs

How to Prevent Falls at Home

Falls are one of the most common and dangerous accidents that occur at home and on the job—especially on staircases. In order to determine whether there are fall hazards within your home, be sure to ask yourself these key questions.
Read more
Outdoor Maintenance: Protecting Your Home and Enhancing Your Curb Appeal

Outdoor Maintenance | Protecting Your Home and Enhancing Your Curb Appeal

Regular outdoor maintenance not only enhances your home's curb appeal but also prevents costly damage and potential insurance issues. Key tasks include cleaning gutters, inspecting the roof, maintaining landscaping, power washing exteriors, and ensuring outdoor structures like fences and decks are in good condition. Staying proactive with seasonal upkeep helps protect your home, reduce long-term repair costs, and maintain insurance coverage eligibility.
Read more
Hot Tub Safety 101 | Protect Your Home, Guests, and Peace of Mind

Hot Tub Safety 101 | Protect Your Home, Guests, and Peace of Mind

Hot tubs offer relaxation but come with safety and liability risks, including potential injuries, health concerns, and insurance coverage gaps. Key precautions include supervising children, maintaining proper water chemistry, setting safe temperature limits, and enforcing responsible usage to prevent accidents. Homeowners should review their insurance policies and consider additional coverage, such as a personal umbrella policy, to ensure financial protection while enjoying their hot tub safely.
Read more
Car keys

Avoiding Problems When Buying Used Vehicles

While buying a used vehicle will save you money in purchase price and help you avoid depreciation costs, it is important to do your research before you purchase one. To avoid buying a car with hidden problems, consider these purchase precautions.
Read more

Visit Our Auto Insurance Page

Auto Insurance

At Murphy Insurance, we are here to assist you in obtaining the appropriate auto insurance. Choosing the appropriate auto insurance coverage can be overwhelming. Every insurance company has its unique offerings, making it challenging to compare options effectively. That’s where we shine. We simplify the process by helping you evaluate provider and policy choices, seek out discounts, and optimize your car insurance within your budget constraints. Ultimately, our goal is to provide you with peace of mind, knowing that you and your loved ones are well-protected.