3. Why does occupation affect car insurance?
A policyholder’s occupation is one of the 'building blocks' that factor into the overall premium. If you drive your car for work purposes, there could be an increased risk of you making a claim.
An insurance provider decides which occupations are most likely to be a risk. As an extreme example, they might well decide that a rally driver is a higher risk than a retiree.
4. Why does my car insurance keep going up?
There could be numerous reasons for this, which is why it’s so crucial to shop around. All providers review their policies on an annual basis. If you had a great deal in year one, you could see an increase when it comes to renewal.
Market forces can also have an impact, as can an individual’s actions, such as incurring points of your licence or making a claim.
Don’t just accept an increase in your insurance premium. Always check if there’s a cheaper deal available elsewhere.
5. Why does my credit score affect my car insurance?
The past few years have seen insurance providers increasingly making a correlation between poor credit scores and the likelihood of a person having an accident or making a claim.
These scores are built into a lot of ratings and it’s becoming more and more prevalent. The credit searches won’t impact your credit file and it’s also a way to confirm a person’s address. It’s an added layer of security.