Does age play a role in developing insurance premiums? Statistics show that drivers under the age of 25 and over the age of 65 are more likely to cause traffic accidents. This is especially true for male drivers under 25, as this demographic is involved in more traffic accidents than all other age demographics. Therefore, drivers in these categories will generally pay higher premiums.
Insurance carriers provide many discounts to help counteract these increased premiums, such as good student discounts, defensive driving discounts, out-of-area college student discounts, and more. Another way to reduce premiums is to increase your deductibles. Not all of these discounts are automatic or the same from each carrier, so it is important that you explore options.
Another area in which age can influence your auto insurance is your liability limits. Younger drivers have a greater propensity for accidents, so you may want higher liability limits to ensure that the insurance policy is enough to cover any damage incurred. However, the older you are, you are more likely to have greater assets, such as a real estate and financial assets, to protect. You may find that large increases in liability protection may not require the same level of increase in premiums.
Remember, in every state, these laws and policies may vary, so it is important to discuss these situations with a licensed agent. That’s why at Rue Insurance, our licensed agents are available to speak with you one-on-one, to develop a customized insurance plan that fits your unique needs. Contact us today and learn more about how to Be Ready with Rue at 609-586-7474 or on our website here: https://www.rueinsurance.com/contact/.