When VA auto insurance companies are determining how much to charge their customers, they consider several factors. Each company uses its own formula to determine the level of risk that a driver presents, and not all factors are given the same weight. For this reason, pricing can vary significantly between companies licensed to sell policies in the state.
One of the major factors that a car insurance company in Virginia will look at when setting rates is the applicant’s driving history. This includes how long the person has been licensed and whether he or she has been involved in any accidents or accumulated moving violations over the past several years. Both of these types of events can put a driver in a higher risk category for car insurance purposes.
Insurance companies want to know how long a person has been licensed because they know that young and/or newly-licensed drivers are more likely to be involved in car accidents than people who have at least a few years of driving experience. Young males are charged the highest rates for their coverage because they are statistically more likely to take risks while driving, which leads to an event that means the insurance company will be paying out on a claim.
The make and model of the vehicle is another important factor when it comes to VA auto insurance rates. Some vehicles cost more to insure because they are more likely to be stolen or are more expensive to repair. Others command higher premiums because they are more likely to damage other vehicles in a collision, and SUVs fit into this category.