Questions your car insurer may ask you

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Questions your insurer may ask you

Although the number of questions asked by insurers can seem quite daunting, these are all done for a very good reason - to work out your risk profile.

Car insurance companies have histories of thousands of claims to help them calculate how much each individual factor may affect the likelihood of you having an accident, and from this they can work out a premium to reflect the risk.

Factors: your age, driving experience, job, illnesses, claims history / no claims bonus, convictions, car type, age of car, address, where parked, usage, mileage, international usage, smokers.

• Your age - as a general rule, older drivers are less likely to cause, or be involved in, accidents.  However, senior citizens above the age of 70 must take a medical test to confirm that they are still fit to drive.
  
  
• How long you have been driving for - more experience will decrease the likelihood of an accident.
  
  
• Your job type. Some occupations, such as sales executives, are treated as higher risk than others.
  
  
• Illnesses - have you had any major illnesses or injuries which may affect your ability to drive? Conditions such as epilepsy, diabetes (type 1), being prone to blackouts, and certain mental illnesses can make insurance premiums much higher.
  
  
• Accidents / Claims history - if you have made a large number of claims, then you can expect your insurance premiums to be much higher. 
  
  
• No claims bonus - conversely, if you have a good driving record, with no history of claims, your premiums will be much lower.
  
  
• Convictions - any motoring offences will significantly increase your premiums - especially if they relate to drink driving. A conviction for fraud is also likely to make many insurers unlikely to offer you a policy, owing to their concerns that you may try again to make a fraudulent claim.
  
  
• Car type - cars are generally grouped by letter according to their risk category. Although this is based on the value of the car, other factors, such as the likelihood of the vehicle being stolen, and security features, are also taken into account.
  
  
• Car age - older vehicles will have depreciated in value, and are generally less expensive to insure (except for certain high value classic cars).
  
  
• Address - insurance risk is calculated by postcode, according to the level of car crime in the local area. Inner city areas also have higher traffic flows, and therefore a greater chance of accidents.
  
  
• Where the car will be parked - if it will be stored in a locked garage, the risk is much lower than for a car parked on the street. However, if you tell your insurance company that you have such a facility, it is important that you use it, otherwise they may not pay out on an insurance claim.
  
  
• Usage - if the car is going to be used to make sales calls, the premiums are likely to be much greater, due to the mileage covered. Usage for business travel also makes high mileage likely, whereas usage for leisure only will have the lowest premiums. However, it would be fraudulent to claim your car will only be used for leisure use if you actually drive it to work. If your vehicle is broken into at your place of work, your insurer is not likely to pay out if your policy is only for leisure use.
  
  
• Annual mileage - the further you drive, the greater your exposure to the risk of an accident. However, if you double your mileage, this does not mean that your premium will double. This is (a) because people who drive longer distances are likely to be more experienced, and (b) because your car is still at risk of being broken into when it is not moving.
  
  
• International use - if your car is regularly taken abroad, this may increase your premiums. Some insurers will also require you to inform them before you take your car abroad.
  
  
• Are you a smoker? Some insurers will ask this, as a number of accidents are caused each year by people lighting cigarettes and losing concentration, or by fires caused by a dropped cigarette.