Houstonians finally discover why auto insurance rates are so high in Houston Texas
Age, gender, and driving history are some of the factors that help determine auto insurance premiums.
Geographical location is another factor that must be taken into consideration.
For example, Texas is ranked #13 out of the top 15 states with the highest auto
insurance rates. Texas is divided by county, and because of this division,
rates will vary. Harris County has the most expensive auto insurance rates
compared to other areas within The Lone Star State, but why is that?
Geographical Location
Influences Auto Insurance Premiums
In order to understand why Harris County has the most expensive auto insurance Houston, it is
important to find out why geographical location is a factor in determining auto
insurance premiums.
The cost of car insurance varies based on
your zip code. If your zip
code has a high-risk level of vehicular-related crime, then insurance premiums
will be higher compared to another zip code with a lower risk level. This
includes motor vehicle theft, vandalism, and collision. So, if you live in an
area that has a high likelihood of these crimes and other situations, then you
are forced to pay more for your insurance.
In addition, insurance rates increase for those making a claim. The
percentage depends on which state the driver is located. In Texas, a single
claim can cause a 32% increase to one’s auto
insurance premium. However, this occurs if the accident is your fault.
Harris County and High
Car Crash Total
How does this relate to Harris County? According to the Texas Department of Transportation, Harris County
contributes the most auto crashes within the state. In 2015, Harris County had
a total of 110,489 crashes. Out of the 110,489 crashes, 338 were fatal with 362
fatalities. 1,920 were incapacitating crashes and resulted in 2,332
incapacitating injuries. With this information, insurance companies can use
geographical location as a determinant.
High
Population
Another reason is the population density of Harris County. Harris
County is the third most populous county in the
United States. At 4.44 million people, the number of automobile owners increases,
and naturally, so does the number of car-related accidents and crimes because
of the grossly congested roadways. This makes sense with the 3.2 million
vehicle registrations and 940,000 car title transfers (per year). Houston, the largest city in Harris County
(as well as Texas) and the fourth most populous city in the United States has
more than 2.1 million people living there. That’s a lot of road accidents waiting to
happen.
Young
Adult Drivers
Within Harris County, there are major cities and universities
contributing to the large population. University of Houston, Rice University,
and Texas Southern University are all populous institutions. This is important
to note because of the age factor used to determine auto insurance rates. Most
people entering universities are fresh out of high school, usually 17 or 18
years old. Younger drivers have higher crash
and fatality rates, due to the fact that younger drivers tend to drive at
higher speeds and less likely to wear a seatbelt.
Drinking
and Driving
Harris County has the highest rate of
alcohol-related driving fatalities out of the most populous counties in the
United States. It has been called a pandemic with approximately 10,000 driving‑while‑intoxicated
cases filed per year.
College drinking adds to the car crash and fatality rates. A study conducted by the University Of
Maryland School Of Public Health
revealed 1 out of 5 college students have driven while drunk. While men are
more likely to partake in risky behavior, both men and women are both likely to
drive drunk to some degree.
Houston Auto
Insurance
With these interconnected factors, it is no wonder Harris County has
the most expensive auto insurance out of all counties in Texas.
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