Why Did My Car Insurance Rates Go Up Moving To San Diego California?

Reader’s Question:

Why did my car insurance premiums go up when I moved just ten miles east from San Diego California?

Mike

Good question Mike.

It seems like your zip code had changed and must have put you to a risk factor location according to your insurance company’s underwriting calculations.

There is an established guidelines, according to California Proposition 103, that was established in 1988, that determines your CAlifornia auto insurance rates. He are the primary factors:

1. Your driving safety record
2. The number of miles driven annually
3. the number of years driving experience

There are other factors that can be used by the nsurance company to determine the individual’s premium.

The secondary factors are marital status, frequesncy, claims history, geographic area where your car is garaged, gender, type of the vehicle, etc.

Until now, insurance companies set rates for premiums based primarily on the zip code rather than the mandatory factors which is driving record, miles driven annually and the driving experience.

Make sure that you maintain a clean driving record within the next two years since this may change so that your rates will be based more upon your driving record than your zip code.

Goodluck!

MariCAR

Who Has The Cheapest California Car Insurance?

Reader’s question:

Is the car insurance cheaper in California than New Jersey? What is the insurance policy and the point system in California?

Peter

It actually depends on different factors if you can get cheaper rates in California than in new jersey. But usually the California insurance is cheaper than in New Jersey.

The average insurance premiums for a California vehicle owners in 2003 was $950 while in new jersey it was $1,365. The national average on that year was $914.

Both states set at 15/30/5. The new jersey sate requires $15000 worth of personal injury insurance (pip) while it is optional in California.

California proposition 103 established guidelines in which your auto insurance rates will be determined.

Here are the primary factors:

1. the driver’s driving safety records
2. the number of miles driven annually
3. years of driving experience.

There are actually 16 secondary rating factors to determine your insurance rates and can calculate your individual premium depending on the insurance company’s filing with the California department of insurance.

Marital status, claims history, geographic area of where car, type of the vehicle are just some of the secondary factors that affects your premiums. Your driving records is a factor considered to determine your insurance rate and it is not an insurance eligibility points assigned like there are in NJ.

Goodluck!

MariCAR