The Iowa Insurance Division (IID) states that factors such as the type of automobile you drive, who the primary driver of the vehicle is and where the automobile is kept can influence rates. A main factor though is your driving record.

The IA insurance commissioner also notes that insurance companies may look at your credit history when you apply for new auto or homeowners insurance, or if your current policy is up for renewal. A credit score is a snapshot of your credit at one point in time. Insurance companies enter information from your credit history and your insurance application into a credit-scoring computer model to calculate a specific insurance credit score.

In addition to using credit information, insurance companies will use other, more traditional rating factors to determine the premium you pay for your auto insurance policy. For auto insurance some of these traditional rating include: driving record, type of car you own, where you live as we mentioned earlier.

Other general rating factors used by auto insurance providers include:

The age, type of operator (occasional or principal driver) and vehicle usage are considered for all households. Young drivers pay more than older, experienced drivers.

If you drive your car to work or school, or use it in business, you will pay more than the person who uses a car for pleasure. If your car is used for pleasure, driving only and you drive less than 7,500 miles a year, a lower rate applies typically.

Rates for Comprehensive and Collision are based mostly on the age of your car and the cost of your car when it was new. If you own a newer or higher-end car, you will normally pay more to insure it. This is because these cars cost more to repair or replace than an older car or a lower-end car.

Also, certain cars are more easily damaged or expensive to repair than others. Some cars protect passengers better. Rates reflect these safety devices and traits.

Your rate is influenced by where you live. Those in large cities and suburbs usually pay more since there is a greater chance of car accidents and car thefts when there are a lot of cars. Also, higher costs of car repairs, legal defense, and medical care increases rates in these areas.

If you want a rate quote for Iowa click here. For more consumer information on IA auto insurance rating factors and insurance laws contact the IID's consumer division.