Spanish legislation is strict, so that anyone who owns a motor vehicle is obliged to take out civil liability insurance, even if the car is not used frequently. The reason for the obligation of third party insurance is that the owner of the car can respond to the payment of compensation for damages that the vehicle may cause to third parties.
It is, without a doubt, essential to hire a good Car insurance. Therefore, choosing a good insurance is an important decision that has to be made with the advice of experts in the sector who know what the average price of car insurance is. Not more important than the above is to have the best service when a claim or claim occurs, someone who understands an expert who will inform us regularly of the entire process and who will be by our side. Euroteide Insurance is an insurance consultancy located in the south of Tenerife and what does it sell Car insurance, Home insurances y Health insurances, among many other products. With their extensive experience in the sector, they will give you the necessary information so that you can choose the best car insurance for you.
Average price of car insurance
The average price of car insurance increased to 659 euros in 2019. This represented a significant increase if we compare it with the prices reached in 2018 or 2015.
This increase It is due to the increase in the number of vehicles. In this way, as there are more cars, the traffic increases and, with it, the possibility of suffering an accident. Likewise, the aging of registered vehicles also influences the increase in the price of car insurance premiums.
According to what aspects the price of a car insurance varies
The price of car insurance it depends on the type of policy that is contracted. Thus, the price of fully comprehensive car insurance will be higher than the price of third party car insurance. In any case, it is essential to take into account what aspects influence when calculating the price of car insurance.
In short, there are different factors that influence the prices of car insurance. They are as follows:
Insurance policy coverage
The coverage included in the insurance policy is the factor that most influences the insurance premium. Thus, a comprehensive insurance will be more expensive than a third party car insurance. In summary, the more and more extensive coverage our Insurance has, the higher its price will be.
- Basic third party car insurance: This car insurance includes the minimum coverage required by Spanish legislation. Being very basic, its price will be much lower than other types of motor vehicle insurance.
- Extended third party car insurance: in this case, the policy also includes other coverages in addition to the basic ones such as theft or fire. In this case, it will depend on what the insurance company and the policyholder have agreed to.
- Comprehensive car insurance with excess: this type of car insurance policy offers very complete coverage. However, as it is an insurance with franchise, the driver has to pay an initial amount in the event of having to face financial compensation. That is why this type of insurance is cheaper than full-risk car insurance.
- Full-risk car insurance without excess: the coverage of this type of policy is very complete and extensive. In this case, it is the insurance company that will assume all the costs derived from a traffic accident. However, the price of this type of policy will depend on one company to another and on the specific coverage that has been agreed.
Insurers determine the risk profile of the driver when formalizing a car insurance. Depending on the profile of the driver, the price of the insurance policy will be higher or lower, depending on the following factors:
- Age and age of the driving licenseYoung people are more prone to accidents, as are less experienced drivers. Therefore, drivers with this profile will pay more for their insurance. In addition, there are many insurers that do not offer their Insurance for people over 75 years old.
- Accident history: depending on the driver's history, the price of the insurance policy will be higher or lower. Thus, if you have had accidents or have been fined, the premium will be higher.
- Province in which you live: Insurers also take into account the place where the driver lives, since the accident rate varies from one province to another. Thus, insuring your car in Cantabria or Cádiz will be more expensive than in Ciudad Real, Ávila or Segovia.
The insured car and the use that is given to it will also influence the price of the Insurance. Specifically, the following characteristics:
- Vehicle and engine type: Depending on the type of vehicle, the insurance will be more or less expensive. Thus, sports cars or vehicles with more than 7 seats are more expensive than traditional passenger cars or smaller cars. The engine also has an influence, since the power of the vehicle will depend on it. Thus, the higher the cylinder capacity, the more expensive the insurance premium will be.
- Car ageOlder cars will be more expensive to insure as they have a higher risk of breakdown.
- Vehicle use: the frequency of use and the number of kilometers that are going to be made to the car will influence the price of the Insurance.
- Vehicle parking: if your car rests in an individual garage, the Insurance will be cheaper. However, if you rest on the street, the Insurance will be more expensive, since the risk of suffering damage is greater.
Undoubtedly, there are many factors on which the average price of car insurance will depend. Therefore, when calculating the price of car insurance, it is best to have the experience of experts in the sector. Euroteide Insurance is a Tenerife Insurance consultancy that, with more than 25 years of experience in the sector, will know how to guide us to find the car insurance that best suits our needs.