How your lifestyle really impacts your car insurance – London Business News | Londonlovesbusiness.com

The real impact lifestyle factors can have on car insurance premiums have been revealed – from marital and residential set up, to the number of children drivers have.

New data from Quotezone reveals the factors leaving households most out of pocket.

According to the experts single people, those with more than two children, and those with no driveway are likely to be experiencing the biggest financial hit when it comes to car insurance.

Insurance companies use lifestyle factors to tailor car insurance quotes to each individual in order to create a more accurate risk profile for potential policyholders.

And whilst it’s widely understood that elements such as driving habits, age, occupation, and location play a significant role in determining premiums, insurance experts atQuotezone say that marital status, residential set up and even the number of children you have can also have a significant impact.

Marital status can actually alter the annual price of insurance. The average single person aged between 35 and 44 will likely pay around £45 more than a married person of the same age, as insurers often view single drivers as more risky.

Families with one child could pay around £92 more annually than those with no children, with premiums typically increasing with each child thereafter – from as little as £5 to as much as £181 on average per additional child per year.

When it comes to where drivers live and how they store their car, those with a private driveway could save £268 compared to those that park their car on the road outside their house.

Working from home is another significant lifestyle factor that can produce big savings.  Those that are working from home could save £331 compared to those that commute into the office, with a social and commuting policy averaging £1,127 compared to a social only policy at £796.

Savings expert and Quotezone CEO Greg Wilson, said: “Insurance providers are increasingly recognising that lifestyle factors play an important part in their risk analysis and forming an accurate picture of customers changing lives and their associated risk potential.

“It’s worth noting that each person’s insurance premium is quoted based on their individual circumstances, whilst analysing averages is useful to help find savings, each person’s premium and potential savings will vary.

“Marital status, residential set up, working arrangements, and even the number of children a driver has can significantly influence car insurance premiums.

“For example, married couples often benefit from lower rates because insurers could perceive them as more stable and less risky than single drivers. Similarly, families with children tend to see a gradual increase in their premiums, reflecting the added risk associated with more passengers in the vehicle.

“This nuanced understanding of individual circumstances allows insurers to create more tailored quotes, ultimately leading to fairer pricing for all policyholders.

“Fortunately, drivers can still save money on their insurance premiums by shopping around for the best deals, as prices can vary significantly between insurers.

“It’s also possible for everyone to bring car insurance premiums down by maintaining a good driving record to build the no claims bonus, reviewing excess amounts, increasing vehicle security and reducing mileage – also opting for smaller cars with smaller engines should create substantial savings.”