There are many factors that affect how much premium you pay. Quite a few of these factors have to do with the level of risk. If you are statistically deemed to be more likely to cause accidents you will have to pay higher rates to compensate for it. Quite often people ask is car insurance higher for male or females. This post will look into gender’s effect on rates and try to answer that particular question.
Many factors influence the final cost of your automobile insurance. It is important to know that each factor carries different weight with each company. While gender is one of the key factors with one insurer the other may be more concerned with recent driving records or credit score. Therefore, you should always get a few quotes and you can do that here.
Gender is one of the factors taken into account by most insurers when they set their rates because it has statistical significance. Some people may see women getting cheaper auto insurance as favoritism towards ladies but insurers aren’t known for their sentimentality. If they offer a female driver a lower rate in comparison to her male relatives or friends it is because carriers consider her to be more of a preferred risk driver.
Why Do Women Pay Less for Car Insurance?
Usually drivers are grouped for rating purposes using their age, gender, driving history and so on. And carriers consider the significance of this grouping. According to Insurance Information Institute, as a group, women get into fewer accidents and they are less serious when they do. Furthermore, guys about 10% more likely not to wear seat belts that increases seriousness of their accident.
Ladies are less likely to drive when drunk and get DUIs and speeding tickets too. According to 2013 FBI report about 540,000 men were arrested for DUIs in comparison to about 170,000 women. Also, speed was the main factor in about 24% of the accidents caused by men while it was 15% in case of women, according to the National Highway Traffic Safety Administration.
In addition, gals tend to drive fewer miles than guys, on average. In other words, ladies carry lower risk in comparison to men and this answers why do guys have to pay more for auto insurance? The odds are against male drivers and therefore they are likely to pay for it.
And finally, men are more likely to go for a higher risk automobile that increases their premium. When one is driving a coupe and the other is driving a minivan it is not hard to see why would the former pay higher premium than the latter.
When you add up all the factors that can affect the average premium charged to a female driver you can see that women typically pays about 8% less for vehicle insurance than men. Off course the real difference will depend on many factors like where you live and which insurer is quoting.
There are even books about the subject suggesting that biologically ladies are more attentive and careful while driving and guys are more risk takers. Furthermore, mums are more likely to drop and pick up the children from school compared to dads that may explain why mums would be more careful drivers. So, it is safe to say that there are real reasons as to why women get cheaper car insurance quotes in general.