With various carriers to choose from, it is important that motorists understand the make-up of insurers in order to help locate the right provider. The majority of companies use the same basic formula when calculating the premiums of potential policyholders. These factors usually include a driver's age, gender, driving history, place of residence and vehicle information.
Consumers should also be aware that there are certain companies who compete in the "standard" market and those who specialize in "non-standard" clientele. Dependent on the risk of the insured, a determination can be made as to whether a standard or non-standard company will suit best. Here is a summary of the different auto insurance company classifications: