All Insurance Professionals

There’s good news for the drivers in California! The recent study suggests that the drivers in California will get low cost car insurance policies and premiums in 2011. According to recent statistics, it has been said that the average car insurance quote for a driver in California is $1,145 in 2011, that is 11$ lower than what it was in 2010 and 30% lower than what it was in 2009. The average premium rate of the month of January in California is 20.6% lower than the national average of $1440. With such surprising insurance news in California, the most common question that comes up is why are the best quotes for car insurance in California getting cheaper? Read on to know the reasons.

What are the reasons for the declining premium prices on California auto policies?

According to the recent reports made by the industry experts, there are various reasons that accounts for the falling auto insurance premiums in states like California. The most important reason that is lowering the auto insurance premiums in California is the fewer number of accidents per year. As per statistics, the number of traffic accidents declined year by year since 2006 to 2010. In 2006, 4304 people died in road accidents, but in 2010 the death rate fell by 28.5% and resulted to a 3055. As there is a lower car accident risk, the insurance lending companies are no longer considering the borrowers to be high risk drivers and are easily letting them qualify for low auto insurance rates in California.

The safer automobile technology is perhaps the second reason that accounts for the low premium rates in California. Stricter DUI (driving under influence) and DWI (driving while intoxicated) laws and their enforcement could also lessen the risks of road accidents caused due to careless and rash driving. This has simultaneously reduced the number of claims files in a year. The local insurance providers say that the severe competition among the auto insurance industry in the US will keep on reducing the premium rates in California in 2011. The drivers will become more cautious about taking their own steps to reduce the auto insurance premiums.

Therefore, if you’re a resident of California, you must have benefited for the reduction in the best  quotes for car insurance in California. Try to maintain a clean driving record and a good credit score so that your insurance lender is bound to lower the insurance premiums even further thereby helping you save your dollars on your auto policy.