Five reasons your neighbor might be paying less for car insurance

Though you live in the same zip code, and even if you are insured by the same company, you might be surprised to learn that your neighbor is paying less for car insurance than you. If you want to stay on good terms, you may not want to ask what the people next door are paying for car insurance. But if you do ask and you’re curious to know why you’re paying more, here are five possible reasons:AgeStatistics show that older drivers are safer drivers. The price for car insurance usually drops dramatically after age 25 and stays low until age 75 assuming you maintain a clean driving record. If your neighbor is between the ages of 25 and 75 and you’re not, that could be a contributing factor in the difference in insurance rates.GenderThe disparity in car insurance rates could also be a matter of gender. As unfair as it sounds, car insurance for females is typically less expensive than it is for males. There are several good reasons for this. Males are less likely to buckle up, more likely to speed, and more likely to get behind the wheel while under the influence of alcohol. For all of these reasons, your neighbor might be paying less simply because she’s female.Driving recordThis one’s pretty obvious to see the reasoning behind it. Insurance companies charge higher rates for people with worse driving records. The more tickets you’ve received and the more accidents you’ve been involved in, the higher your insurance rates will be. If your neighbor’s driving record is squeaky clean, or at least cleaner than yours, that could be why he/she is paying less.CommuteThis factor also makes a lot of sense. If you commute 60 miles to work five days a week and your neighbor works from home, takes the train, rides a bike, or commutes just ten miles, you can expect to pay more for insurance. The more you drive your car, the more it will cost to insure it.CarFinally, there’s the car itself to consider. If your neighbor is driving a ten-year-old Honda Civic and you’re sporting a late model Audi or Mercedes, chances are your insurance rates are going to be higher. Cost isn’t the only factor however. In general, if your car has a higher than average claims history, you’re going to be paying more than someone whose car has a lower claims history.If you’re unhappy with what you’re currently paying for car insurance and what a more affordable rate, call (855) 724-7965.Auto news brought to you by directinsurance.agencySource: nerdwallet.com/blog/insurance/2015/04/03/neighbor-lower-auto-insurance-quote/