How is your Car Insurance Premium Calculated?

Here is a list of the main factors that are used to calculate your car insurance premium:

Age - Younger drivers pay the most, along with new drivers.
Gender - Females get cheaper car insurance than men. Click Here to find out why.
Car (Insurance Group) - The higher the number the more it costs (1 to 20)
Type of Cover Required - Fully Comprehensive is the most expensive and third party the cheapest.
Excess - Click Here for more details
Job - Stressful jobs such as retail management can increase insurance premiums.
Where the vehicle is kept overnight - In the garage, on the driveway or street.
Annual Mileage - The more mileage you do the more it costs.
No Claims Bonus - The more ncb you have the cheaper your insurace costs will be.

Who Decides how much Car Insurance Premiums are?

Insurance quotes are calculated by insurance underwriters. Their job is to perform a risk assessment and give a competitive quote that will make the insurance company money in the long run. Most insurance companies have set guidelines and price plans which produce quotes automatically, this is how online insurance companies provide quotes so fast.

Points and Exisiting Claims

Having points on your license will also increase your premium, although with the influx of speed cameras some insurers are less severe on premium hikes. Existing claims also cost extra as it makes you a higher risk to your insurance company.