In 2006, the legislature in South Carolina made changes to their insurance codes requiring South Carolinians to carry more minimum coverage which ended up raising rates across the spectrum. According to the Insurance Information Institute, South Carolina’s typical annual auto insurance rates are now $138 higher than North Carolina’s.
There are several things that affect how one’s rates are determined and they go beyond just factoring in one’s driving record. Young drivers are considered high risk due to their inexperience. Senior drivers have health factored into their risk. Being single versus being married quantifies a risk.
What kind of car is being insured? A Ferrari Testarossa costs more to cover than a Toyota Solara. If a person is driving a hybrid and the car has airbags, both in the front and on the sides, and if there is an anti-lock braking system and anti-theft device, this will affect a consumer’s insurance rates and factor them as a lower risk and therefore, a lower rate is calculated.
Another point used when factoring an insurance rate, is that of how often, how far and where the car is driven. A car is assessed a risk based on where it is parked. Parking in a locked or secured garage makes it a lower risk than parking it on the street or in an open area.
Lastly, a risk factor considered when calculating insurance rates is that of one’s gender. With the current changes in legal recognition of third genders, it will be interesting when going forward how risk is assigned for gender reassignment. Insurance companies will have to consider this for future industry standards.
The Hartman Law Firm is committed to securing compensation for accident and injury victims and since 2006 has actively sought to help victims by reviewing their accident case free of charge and offering them confidential assessment.
For more information, visit www.thehartmanlawfirm.com
The Hartman Law Firm, LLC
6650 Rivers Ave.
North Charleston, SC 29406