Auto insurance

16 semi-shocking facts about car insurance

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Auto insurance has been around much longer than some of us would have imagined, and America’s first gas-powered car was indeed one of a kind. If you’re a fan of trivial facts, you might enjoy these 16 car insurance facts.

The 16 most interesting facts about car insurance

  1. The first American car was built by Oliver Evans in 1805. It was a truly unusual vehicle. Not only could the automobile move on land using wheels, but it could also move through water using paddle wheels.
  2. The first automobile insurance policy was issued in 1897.
  3. Automobiles did not enter mass production until 1913. With the introduction of the moving assembly line, the time required to build a vehicle fell from over 12 hours to one hour and 33 minutes. The innovation helped achieve Henry Ford’s goal of building “motor cars for the great multitude”.
  4. Half of every insurance premium is spent on administrative costs rather than coverage. This may help explain why some auto insurers charge significantly more than others.
  5. It can hurt a driver’s credit rating if they don’t cancel their previous auto insurance policy before moving to another insurance company.
  6. Some cities and states still have laws in place that prohibit barefoot driving.
  7. Widowers are statistically more likely to have an accident than married drivers.
  8. Of all the insurance companies in the United States, State Farm underwrites more auto insurance policies than any other. Fortunately, it usually ranks near the top of JD Power’s customer satisfaction surveys.
  9. As soon as people were able to compare car insurance rates on the internet, the rates started to drop.
  10. Of all automobile insurance policies written, 22% are written for high-risk drivers. We might all want to think about that the next time we’re on the road.
  11. Comprehensive car insurance costs less each year for married couples than for single drivers.
  12. Although men are involved in more car accidents than women, women are 37% to 73% more likely to be injured. There are two reasons for this statistic: female drivers are more likely to be affected than male drivers, and women tend to drive smaller and lighter vehicles.
  13. The type of car you drive has an impact on the amount of your premiums. This is because insurance companies look at things like the likelihood of your vehicle being stolen, engine size, your specific vehicle’s safety record, the cost of repairs, and the potential damage that a vehicle like yours may have. can impose on another car.
  14. You can expect to pay a high car insurance premium when you buy a new car, unless the vehicle has safety features like anti-lock brakes and an anti-theft system. If so, you can score a lower premium.
  15. Before giving you a quote, auto insurance companies check your credit score, driving record, and vehicle mileage. Depending on what you have approved for them to check, they may know even more about you.
  16. If you’ve ever wondered why your credit score affects your car insurance rates, it’s because researchers have found a correlation between credit scores and claims. The lower a person’s credit score, the more likely that person is to make car insurance claims. It doesn’t seem fair, but insurers have relied on this research for years. One of the best ways to lower your premiums is to increase your credit score.

Make sure you have the best coverage you can find

Auto insurance is a necessity. The best each of us can do is keep our credit scores as high as possible, make as few auto claims as possible, and find an insurance company that meets both our needs and our budget. monthly.

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