Reason You May Pay More for Car Insurance

Meet "Sally" and "Suzy": This 30-year-old twin brothers were identical in almost every way to auransi car. The two women lived in Louisville, Kentucky. They both work full time, have a star driving record, a decent credit rating and no irregularities in automobile insurance coverage. They even push the twin 2005 Honda Civic - the same color, make, model and mileage.Sally pays $ 2,408 per year for car insurance - to get theminimum policies provide coverage required by Kentucky - through Farmers Insurance. Meanwhile, Suzy Farmers pay $ 1,640 for the exact same coverage. So why Sally pay 47 percent more than for the same insurance Suzy?According to the Consumer Federation of America, Sally is forced to pony up more money for car insurance because he arenter and Suzy are homeowners.From our Solution Center: A quick way to shop insuranceYes. CFA - who recently conducted an analysis quote premium of car insurance companies is great for drivers safe 30 years in 10 cities across the United States - found that consumers pay an average of 7 percent (approximately $ 112 per year) for car insurance if they wrote a rent check out a check for their home mortgage.Depending on your car insurance company and where the driver lives, they can be like Sally - and above pay 47 percent more for insurance. For example, Allstate auto insurance quotes for tenants in Tampa, Florida, is 19 percent more than homeowners. In Baltimore, Liberty Mutual tenants charged 23 percent more.CFA states that the use of auto car insurance companies' status of home ownership in the price leaves the lower and moderate income Americans at an unfair disadvantage. According to data from the Federal Reserve Board, the average income of renters in the United States was $ 27,800 in 2013, compared to $ 63,400 for homeowners."To improve people's car insurance premiums because they can not afford to buy homes they unfairly discriminate against low-income drivers," said CFA Insurance Director J. Robert Hunter in a statement. "A good driver is a good driver whether he rent or own their homes. The insurance company should not be allowed to target people based on the status of home ownership."CFA obtained a quote from State Farm, Geico, Allstate, Progressive, Farmers, Liberty Mutual and Nationwide. Geico is the only insurance company that quote the same, regardless of home ownership status of the driver."Almost every state requires drivers to purchase insurance, but we do not have to force them to buy a house to get the best price," said Hunter. "State insurance commissioner and an elected representative should intervene and stop this practice," he added