Actuaries Set Automotive Insurance Rates

Insurance companies know that each year aWhen researching new cars to buy it is important
certain number of people will be involved in a autoto obtain a quote from an insurance agent as
accident. There are people behind the scenestheir tables will give them insight into the rates
called actuaries that spend their time looking atthat even a safe driver can expect to pay when
data and record the patterns and behaviors ofcomparing different makes and models of cars.
drivers in every region of the country. BySelecting a new vehicle based on its insurability as
analyzing the number of cars involved in accidentswell as on the economical and luxury factors will
and the types of cars that are involved in thosehelp the buyer to find the safest makes and
accidents the insurance actuaries can determinemodels and help them save on their monthly
which cars will be more prone to be involved in aninsurance premiums, no matter what their driving
auto accident and which cars will not be as likelyrecord looks like. From any city in the country the
to see a wreck. By compiling information oncost of insurance may vary, but the actual data
traffic accidents from across the nation thesethat shows which cars are more likely to be
actuaries can tell which cars are the best ones toinvolved in accidents and which are not can be a
insure as far as a risk of payout from thedeciding factor in the safety of the driver and
insurance company and which cars are a safe bettheir passengers.
for the insurance company to insure.