How Do Texas Auto Insurance Companies Determine My Accident Risk?


United States flag shaped as TexasTo determine a resident’s risk of being involved in an accident or filing a claim, coverage providers often take into consideration many different details. Often this information can range from personal information about a specific motorist, to the type of vehicle they drive and their driving habits. Residents should note that it is not uncommon for insurers to weigh certain information differently than others. This often results in several companies producing unique quotes for a policy that contains the same level of protection. For this reason it is typically beneficial for vehicle owners in the Lone Star State to shop around and compare prices before purchasing a policy.

The details that are typically considered when determining an individual’s potential Texas car insurance premium often include:
  • Age
  • Gender
  • Marital Status
  • Accident History
  • Location
  • Driving Habits
  • Desired Coverage
  • Vehicle Information

Many of these details can have an effect on how much an individual may end up paying for a policy. A resident’s age, for example, can be particularly important because people at certain ages have a statistically higher chance of being involved in an accident than others. In 2010, the TX Peace Officer’s Crash Reports indicated that there were over 22,600 accidents involving 18 year old drivers, yet only 10,800 accidents involving drivers who were 45 years old. Generally, individuals under the age of 25 have a greater chance of being involved in an accident than any other age group, and consequently often encounter higher coverage costs.
Texas flag shaped as a shield
Both gender and marital status are taken into consideration for similar reasons. Various studies have shown that young men have a slightly higher chance of taking unnecessary risks while behind the wheel, and are involved in more accidents than women. Married couples on the other hand, often file fewer claims than single drivers, and typically find cheap auto insurance in Texas more frequently as a result. Because of the high number of details that are considered to determine a person’s risk of being in an accident, drivers are encouraged to shop around and make a wide range of comparisons before purchasing a policy and to continue periodically comparing quotes to maintain affordable coverage.

Although there are several ways to compare sample rates from multiple companies, residents can get free insurance quotes without personal information from the World Wide Web. Doing so can often allow Texas motorists to examine dozens of estimates at once in only a matter of minutes. Additionally, with no obligation to make a purchase, residents can occasionally make a quick comparison over time to ensure that they continue to receive the lowest rates available. This can be particularly important because an individual’s personal details are likely to change, which may lead to lower premiums.