How Are Auto Insurance Premiums Calculated? 
Auto insurance premium is calculated by utilizing a number of factors . The logical factors are the area in which you live , your driving record and the type of car you drive . In addition , premiums will also take into account the coverage you chose - comp & collision -LRB- & their deductibles -RRB- , the amount of liability coverage , rental car , road side assistance , etc. ; if you had a recent lapse in coverage will increase premiums . Most companies will also consider your `` insurance score '' which includes your credit . 