ndividual Risk Factor Weighting
Finally, your insurance company may re-evaluate how risky each of the characteristics, or factors, of your policy is, based on updated data. An insurance company may react to the results of such an analysis by increasing specific rating factors (and potentially decreasing others).
As you can see, there are some obvious and some not so obvious reasons for the price of your car insurance to go up every year. Whatever the reason is, be assured that not all insurance companies will charge the same amount for the same coverage. That’s why it’s important to shop around occasionally for a better price if you feel your insurance has increased too much. Annual increases are very typical across the industry, but the way that your risk factors are viewed by any particular company may vary.
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