Insurance Rates – What States Has the Highest?

Posted on January 4, 2010
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Premiums are based on many factors within your control, such as your credit rating, driving record, type of car you drive & your record of insurance claims. Though, there's another important factor that you've little control: the state where you live.

It is unfortunate that some states are simply higher rates on auto insurance than others. While you might have sterling driving record & an impeccable credit score, if you live in a bad condition you will still pay high rates for auto insurance.

Do what the state has the highest rate on auto insurance? The answer is not yet a state, but the District of Columbia. The house the federal government top the list of most expensive states for car insurance with the average annual combined premium of $ 1342.80, after 2005, the latest year for which data are available from the National Association of Insurance Commissions.

Many other states with the highest rate of car insurance are located in the Northeast, including New York, New Jersey, Rhode Island, Massachusetts & Delaware. Again, this is from 2005 so things may have changed somewhat since then, Alaska, Louisiana, Nevada & Florida round out the top ten states with the highest rates on auto insurance.

Since the new legislation in 2004, the insurance industry has been rather lenient on the people of New Jersey. However, there're certain factors when deciding the rate that simply cannot be ignored & are some reasons why the price of insurance in this state is expensive. These reasons include high pays medical providers, the high cost of fixing a car & not to mention the population density & therefore the chances of accidents occurring in the region of New Jersey. These factors must be taken into consideration when setting rates.

To understand why the North east is the most expensive region for car insurance you just ought to take a drive on the traffic-choked roads of New York City or brave the fanatical drivers on the New Jersey Turnpike.

Insurance rates are based on the number of claims records & how these claims are expensive. There seems to be many more applications in crowded urban areas like the Northeast, if the rates paid by all drivers in this area up. In contrast, Iowa has the lowest combined average auto insurance in the country, clocking in at only $ 664.20 – less than half the district of Columbia rate. Online auto insurance is a leading car insurance for young drivers website. It's mission to become #1 website for Nevada auto insurance.

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