The reasons car insurance in Spain rises

The reasons car insurance in Spain rises. Image: Pixabay

Many people are finding that when they need to renew their car insurance in Spain the price has risen.

Although insurance companies cannot raise the price without notifying the owner at least two months in advance unless otherwise stated on the policy, it is worth knowing some of the factors that will cause the increase to car insurance in Spain.

Car insurance is calculated based on several factors such as the age of the main driver, the age of the driving license or the car model (it is not the same to insure an average utility vehicle as a sports car of high-end).

The city of residence or employment also has an influence, since the accident rate of the city of circulation and the expertise of the driver is taken into account.

Other indicators that are taken into account to set the price of insurance, and on which one can moderately influence, the chosen coverages (third-party insurance, the legal minimum to circulate, they are much cheaper) and use, since if it is driven every day the company will tend to increase the cost.

In addition to these, some of the reasons why car insurance can be raised are:

  • The accident history. This can increase the price by up to 30 per cent.
  • Withdrawal of points from the card and fines.
  • Including another driver. The price will go up especially if a driver under 25 is added to the policy.
  • The garage space. A car that is not kept in a garage will usually have a higher insurance.
  • Rise in the CPI. The Consumer Price Index keeps changing, which also affects insurance prices.
  • Bonuses and promotions. It is possible that the company offered some type of discount that was ended with the renewal.
  • Change of address. Transferring to a city with a higher accident rate will increase the cost.
  • The increase in the price of an insurance policy for the car is legal and there are three options to choose how to react in the event of having to pay more.

To lower the cost, it is usually worth shopping around for any offers companies have when opening a new policy, or even just looking into cheaper policies with other insurers on the market.

Reducing the coverage can also lower the insurance price.


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Written by

Laura Kemp

Originally from UK, Laura is based in Axarquia and is a writer for the Euro Weekly News covering news and features. Got a news story you want to share? Then get in touch at [email protected]

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