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What Factors Cause Your Insurance Premium to Go Up?

If you’re like most people, you probably don’t enjoy paying insurance premiums. In fact, you probably do everything possible to keep your rates as low as possible. But what factors actually cause your insurance premium to go up? And is there anything you can do about it? In this blog post, we will answer these questions and more.

What are Insurance Premiums?

Insurance premiums are the fees that you pay to insurance companies in order to maintain your insurance policy. They can be a bit confusing, so let’s break them down.

There are two types of insurance premiums: fixed and variable. Fixed premiums remain the same each month, while variable premiums can change from month-to-month.

Most insurance policies have both fixed and variable premiums. The fixed premiums are usually for the basic coverage, while the variable premiums are for the add-ons.

The pros of fixed premiums are that you always know what you’re paying and you can budget for it. The cons are that the coverage may not be as good as the variable premiums.

The pros of variable premiums are that they offer more flexibility and can sometimes be cheaper than the fixed premiums. The cons are that they can be unpredictable and hard to budget for.

Why Is My Insurance Going Up?

Depending on what kind of insurance you’re looking at, there are different variables that can make your rates go up or down. 

For example, if you’re looking for car insurance, your premium may go up if you get into an accident or if your driving record gets worse. Or if you’re looking at life insurance, your premium may go up if you get older or if you develop a health condition. For home insurance, your premium may go up if you make a claim or if there is a natural disaster in your area.

There are a number of factors that might be the reason why your insurance insurance is going up. Some of the most common include:

– A increase in the cost of insurance claims

– An increase in the number of insurance claims

– Higher medical costs

– New regulations from the government

How Can I Lower My Premiums?

There are a few things that you can do to lower your insurance premiums. Some of the most popular include:

– Bundling your insurance policies

– Increasing your deductible

– Shopping around for better rates

– Installing safety features on your car or home

– Taking a defensive driving course


Insurance premiums can be frustrating, but hopefully this article has helped to clear some things up. By understanding what causes premiums to go up and by taking some of the steps listed above, you can help keep your rates as low as possible.

To learn more about how you can lower your rates and get the most out of your policies, contact Bethany Insurance today. We’ve helped our customers save time, energy, and money on their policies, and we’d be happy to help you get a policy started.