Dr. Yu-luen Ma offers automobile insurance expertise

Dr. Yu-luen Ma offers expertise on lowering auto insurance rates in Texas:

Yu-Luen Ma

What are the biggest risk factors keeping car insurance rates from being cheaper in Texas?

Car insurance rates are mainly based on auto accident costs. The more expensive the claims are and the more accidents people have, the higher the auto insurance rates are.

Is there anything that state and local governments can do to promote cheap car insurance rates for their constituents?

Echoing the response from the previous question, the governments could promote safe driving by raising awareness of the danger of distracted driving, drunk driving, speeding, etc. to lower the number of auto accidents and crash severity, which consequently would lower the auto insurance costs.

Why do you think credit history has a relatively small impact on car insurance rates in Texas?

Insurance companies use combinations of factors to predict claims and set premium rates. If other factors have been found to have a stronger correlation with auto claims than does credit history, insurers may put greater weight on these factors and reduce the impact of credit history on premium rates.