North Carolina is one of the least expensive states to buy auto insurance in the United States. With an annual average insurance rate of $1085, North Carolina is the fourth least expensive state to buy auto insurance. Most cities in North Carolina have average insurance rates below $1000. But, accidents and alcohol related offences could double your premiums. Let us compare the auto insurance rates in the different cities of North Carolina and understand how your driving record impacts your insurance premium.
The main factors that determine how much premium you pay are: your age, gender, location, make and model of the car, and your driving record. The average annual insurance rate is $808 in Asheville, which is the lowest in the state.
Accidents are known to drive your insurance premiums up. In Asheville, you would have to pay an annual average rate of $995 after one accident. After a second accident, you would have to pay as much as $1485 every year. If you are convicted of an alcohol-related offense, your premium would go up to $1503.
In North Carolina, Fayetteville has the highest insurance rates. We could put the premium increase on a DUI conviction into perspective with this comparison: a DUI conviction in Asheville will result in you paying almost $500 more than the regular insurance premium rates in Fayetteville.
You could take a defensive driving course to bring down your premium to $1278. In addition to the above, most car insurance companies follow the Insurance Services Organisation’s (ISO) surcharge policy, and increase your premium up to $970 for the first two cars of a multi-car policy, and up to $1131 for a single-car policy. In Fayetteville, these figures are as high as $1398 for a multi-car policy and $1631 for a single-car policy. Also, a DUI conviction could increase your insurance premium rates to $2167 in Fayetteville.
In extreme cases, insurers have been known to ask DUI convicts to buy ‘high risk insurance’ or to cancel their coverage altogether. This could make it really difficult for you to buy auto insurance. The next time you are tempted to get behind the wheel in an intoxicated condition, keep in mind the long-term financial consequences of your decision. It would help to plan ahead and call a cab.