Insurance and unemployment might seem like two end poles of a pole, but in the gullies of the insurance market, you can find that perfect policy, irrespective of your job status. It’s no fiction, it’s a reality and with proper research, quick insurance quotes and a few positive demographic factors you can land on your dream insurance. Many insurance companies provide short term insurance for unemployed so why not enjoy the benefits of coverage keeping our worries at bay.

Can You Get Car Insurance When You Have No Job

No, insurance companies cannot deny you coverage just because you are unemployed. Unemployment is a tough thing to face, but that in no way means that you should sacrifice your auto insurance coverage to make ends meet.

With almost every household owning at least one car nowadays and the increased number of vehicles swarming in the streets today, accidents have become more common an occurrence than ever. They bring damage to not only the vehicle but also to the driver and the passengers.

With unemployment, the ability to pay your auto insurance bills is very much affected and so you need to choose a perfect and an affordable cover. But Sir, that doesn’t mean you have to step back from insurance coverage. No, not at all. Cars cannot be repaired or maintained cheaply like your clothes; hence insurance holds the key to an easy, fearless life. Your insurance will provide you protection from any thefts or damages caused by accidents and you must never miss out on the long term benefits of auto insurance. All insurers provide cheap car insurance for unemployed, and you can actually get one with proper guidance.

Why is employment status important?

This depends on the perspective of your insurer. On one side, some insurers feel that a person without a job is less likely to travel regularly, putting the vehicle at a lower risk and as premium depends on regular mileage this will lead to a lower rate.

On the other hand, some insurers feel that without a job with more free time in hand, a person in bound to travel more, or is bound to travel more looking for job opportunities. Thus in this case a higher mileage attracts a higher rate of car insurance premium.

With a number of insurance companies in the market providing coverage for your car, you need to focus on the affordability and long term benefits. Most companies base their premiums on:

Vehicle Classification: Model, age, manufacturer, Mileage.

Driver: Age, records and traffic violations, gender, marital status, residence i.e. Zip Code.

And if you don’t have any previous professional insurance experience, we have elaborated them in here for you to consider. So understand what makes you a low-risk or a high-risk driver!

Driving Record: Well this is the single most important aspect that determines your insurance rate. Unemployed or not, if you have a good driving record free from any history of accidents, you will surely be bumped up to the best class with best rates.

Rating Zip Code: Your parking spot determines your rate. More densely populated neighborhoods mean that you are at a higher risk of accidents than a person living outside the city. Moreover the maintenance and repair of cars cost more in some areas than the others.

Age, Gender and Marital Status: These three demographic factors have a huge impact on your class assignment by your insurer. It’s a notion that women drivers are more cautious than men hence their male counterparts are left to pay more. It’s surprising though to note that in case of the older population, women hold a poor driving record when compared to their counterparts.

Married people tend to have fewer accidents than single people hence marriage gives a break especially to young men, lowering their rates.

Vehicle Mileage, Type and Coverage: It will of course cost you more to insure a luxury vehicle than an old car that’s been on the road for ages. If a car is known to have caused more damage to other cars or people the rates again go high. Extra vehicles have lower premiums since they are used less. Mileage is another key aspect in determining your rate. Larger cars are generally safer than smaller cars in accidents hence larger cars with good safety ratings have lower premiums. But do note that cars with larger engines relative to their bodies tend to have higher rates.

So, although not all rating factors are determined by your employment status, many affect the rates either directly or indirectly. So knowing what affects your rate can definitely help you in making an informed decision when purchasing insurance. Always look for quotes, and try to find that one cheap car insurance quick quote that suits your present financial status and ability. But do not let your unemployment be the reason for backing out of auto insurance coverage because, employed or unemployed car insurance is a must.

Author's Bio: 

Anna Parton is professional Financial Adviser in United States. She is independent women and also part of NGO.