Have you notice that you are always asked your zip code when you go about getting and comparing dirt cheap auto insurance rate quotes from different insurers? Why is this so? The answer is very simple: Because where you live can make you a very good risk or a very bad one.

If, for example, you live in a very high crime area, then there’s NO way every insurer won’t conclude that, all other things being equal, your vehicle is more exposed to the threat of theft than if you lived in a community that has a very car theft rate.

Also, ask yourself who will have more issues with collision and crashes: A farmer who lives on kilometers all alone and drives only on lonely almost deserted roads and a New Yorker who has to beat the heavy traffic at peak periods. If you give it just a little thought you’d see why where you live can affect your premium.