Choosing A Better Insurance Plan

How Your Job Title Affects Your Auto Insurance Rates

by Isabella Torres

So many factors affect auto insurance rates; you might not even be aware of some of them. For example, many people don't know that their job titles can affect their coverage rates. Below are the specific reasons job titles do affect auto insurance premiums.

Driving Frequency and Mileage

Your job determines how often you drive, and how far you are likely to go each time you drive. Your driving frequency and mileage affect your rates since the more you drive the higher your exposure to accidents. For example, a telecommuting writer might enjoy lower rates than a field reporter. The work-at-home writer probably doesn't drive as much as the field reporter.

Education

There is evidence that motorists with advanced degrees are more likely to make auto insurance claims than motorists without advanced degrees. Some jobs attract applicants with advanced degrees while others attract those without degrees. Thus, you may enjoy low rates if you are in a profession populated by those without advanced degrees.

Attention to Detail

Those whose jobs require great attention to detail may also enjoy relatively low rates. Safe driving requires significant attention to detail. You have to be aware of weather conditions, road conditions, other road users (motorists, cyclists, and pedestrians, among others). You have to be aware of motorists behind, beside, and in front of you. If you already pay attention to detail in your line of work, you are likely to be a good driver who is not likely to cause a road accident.

Work Environment

Your work environment also matters — in two main ways. First, your work environment can expose your car to the risk of theft or vandalism. Secondly, those who drive in difficult environments, such as participants of high-risk sports, expose their cars to higher risks of damage that tend to trigger numerous claims.

Type of Policy

Lastly, the type of job you do also determines the type of policy you should have — personal or commercial auto insurance. Commercial auto insurance is relatively expensive than personal auto insurance. For example, if you use your car primarily for business (for example, if you offer delivery services), then you may be required to pay for commercial auto insurance coverage.

You should not lie about your job title in your auto insurance application just to snag good rates. However, many people have jobs that multiple job titles can describe. That means your auto insurance agent can help you get an accurate job title that won't negatively affect your coverage.

For more information about auto insurance, contact a company like Affordable Insurance.

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